A Federal High Court in Lagos has dismissed a lawsuit filed by the Manufacturers Association of Nigeria (MAN) challenging the Band A electricity tariff review by the Abuja Electricity Distribution Company (AEDC) and 11 other entities.
According to the Nigerian Electricity Regulatory Commission (NERC), the court concluded that MAN’s lawsuit was premature and an abuse of the court process, as it did not comply with Section 51 of the Electricity Act 2023. The court also found that MAN had not exhausted the dispute resolution mechanisms before filing the lawsuit, deeming it to have no reasonable cause of action.
MAN had sought several reliefs, claiming that the necessary regulatory procedures were not followed before AEDC and other entities applied for the tariff review. The association argued that the subsequent tariff increase unfairly targeted Band A consumers, whom they believed were being discriminated against, and challenged NERC’s Supplementary Orders issued in April and May 2024.
NERC opposed the lawsuit, arguing that it was filed without due process. The court ultimately agreed, striking out the case.
Band A customers, who are guaranteed at least 20 hours of electricity daily but do not receive government subsidies, have raised concerns about the ₦209.50 per kilowatt-hour tariff. MAN contends that this rate has significantly increased electricity costs for manufacturers, adversely impacting production.
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