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DisCos face billions in losses as manufacturers insist on paying old tariffs

Following the surge in electricity tariffs for Band A customers in the nation from N66/kWh to N208/kWh, the Manufacturers Association of Nigeria (MAN) lodged a petition with NERC, urging a reversal of the new electricity rates for its members.
Citing numerous economic challenges confronting manufacturers and business owners in the country, the association argued that the escalated electricity tariffs would further exacerbate the hardships of conducting business in the nation.
Meanwhile, Power Distribution Companies (Discos) are reportedly contemplating widespread disconnections of several companies and factories, fearing substantial losses estimated in billions of naira.
Power distribution companies (DisCos) in Nigeria face billions in collection losses as manufacturers decide to pay the old tariff rates instead of the new rates approved by industry regulators.
The Manufacturers Association of Nigeria (MAN) has instructed its members across the country to persist in paying the previous rate of N66/kWh to the distribution companies (DISCOs) pending a resolution of the petition filed by the association to the National Electricity Regulatory Commission (NERC)
NERC approved the new tariff due to financial illiquidity and mounting losses incurred by the DisCos stemming from the lack of a cost-reflective tariff within the power sector.
The Minister of Power, Adebayo Adelabu, had earlier said that the federal government was subsidizing about 67% of the power sector, expected to amount to N2.9 trillion by the end of 2024.
The report also showed that about 52% of electricity costs would not be subsidized monthly as the government has halted a significant portion of the electricity subsidy.
With the refusal of MAN to pay the tariff, Discos is expected to bear more losses in the coming months.
According to the latest report by NERC, DisCos, revenue collections stood at N294.95 billion out of the N399.69 billion billed to customers in the fourth quarter of 2023, indicating a N105.1 billion loss in total.
MAN Accuses NERC of Being Singled Out for Tariff Hikes
Nairametrics has learned that manufacturers believe they are being unfairly targeted with high electricity tariffs.
This appears to be part of a government strategy to shift the burden of electricity cross-subsidies onto them, a responsibility previously borne by the government before it ceased subsidizing the sector.
The aim is to impose cost-reflective rates on these companies.
Electricity cross-subsidy is a process where tariffs are adjusted so that customers with high demand and more reliable power supply pay higher rates.
This is done to compensate for customers who receive limited power and face affordability challenges.
In a letter addressed to its members, MAN instructed them to adhere to the previous tariff rates and urged them not to be deterred by NERC’s actions, emphasizing the association’s commitment to escalating discussions with the DisCos and the federal government.
“In the face of this stark reality and in order to ensure that members’ businesses are not disrupted and the DisCos are not starved of needed revenue, you are advised to pay the old rate on account, whilst we intensify our engagement with NERC/DisCos with a view to ensuring that due process is followed in tariff setting and that our members are only required to pay a fair price for power supplied.
“We have since instructed our Expert/Solicitor to stand ready to take further necessary action to ensure that our members are not intimidated or compelled to pay the rate in dispute,” the letter read in part.
DisCos threaten widespread disconnection
To secure payment of the revised tariff, sources said DisCos are threatening widespread disconnection targeted at companies and factories that have refused to pay the new rate implemented by NERC.
An official who chose to remain anonymous told Nairametrics that the power distribution companies would have no choice but to disconnect some of these companies from their services as the old rate remains unstainable for the electricity providers.
“I think DisCos have no choice but to embark on widespread disconnection to avoid carrying over these losses.
“Meanwhile, we also understand some of the companies are seeking alternatives such as gas and ‘eligible’ customers to reduce their electricity cost,” the source said.
Furthermore, Mr. Ajayi Kadiri, the Director-General of MAN, stated in his correspondence that members have received bills indicating the tariff hike, with some being notified of impending electricity supply disconnections to their factories.
“Our members have been served bills reflecting the increase and some have been informed that electricity supply to their factories will be cut off.
This is rather unfortunate and does not demonstrate the willingness to engage manufacturers with a view to arriving at a mutually beneficial outcome,” Kadri said.
Ongoing Petition with NERC
Last Thursday, a panel of NERC adjourned its verdict on the petition by the Manufacturers Association of Nigeria, MAN, indefinitely.
The Vice Chairman of NERC, who doubles as chairman of the panel, Dr Musiliu Oseni, said that the commission would take some time to review the petition and come up with a fair verdict.
On their part, however, the counsel to MAN, Tola Oshodi, urged the electricity regulator to reverse the recently hiked tariff for Band A consumers, as it was inimical to the manufacturing sector.
“We are here to appeal. MAN was not given an opportunity to make representation before the new tariff was fixed.
“MAN is recognized in the guidelines as a stakeholder that must be engaged before such decisions, but it never happened. The provision for stakeholders’ engagement was not complied with.
“We appeal that the new tariff should be suspended as we go through the process of engagement,” he said.
Source: Nairametrics
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Amidst swirling rumors surrounding Oseloka Obi, the son of Peter Obi, the Labour Party’s presidential candidate for 2023, a new twist has emerged regarding persistent allegations about his gender identity.
In response to a flurry of speculation, Oseloka has taken a stand against the viral claims connecting him to homosexuality, which were sparked by the circulation of photographs featuring him alongside Kent Okwesa, a British-Nigerian based in London. Click link to continue reading.
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MANCHESTER DERBY: Erling Haaland Vows To Revenge Against United
“We’ve lost two games in a row, it’s not good enough, it’s way too bad,” he said, speaking to Viaplay in Norway. “We need to figure it out, get back to winning ways.
Pep Guardiola’s side are in the bottom half of the Premier League table heading into the clash having lost back-to-back matches against Tottenham and Brighton before the international break. Click link to continue reading.
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REVELEAD: Why Pastor Kumuyi Is Changing Some Deeper Life Principles

The General Superintendent of the Deeper Christian Life Ministry, Pastor William Folorunsho Kumuyi, has announced a series of changes to some of the long-standing rules of the church, saying many of them were never scriptural but were introduced for administrative purposes.
Pastor Kumuyi, widely regarded as one of the most influential church leaders in the world, is the founder of Deeper Life Bible Church, which began in 1973 as a small Bible study group in Lagos.
Over the decades, the ministry has grown into a global Christian movement. The Lagos headquarters alone attracts over 120,000 worshippers weekly, placing it among the five largest single congregations worldwide. In Nigeria, the church boasts more than one million members with over 5,000 branches, and a further 3,000 branches spread across Africa, Europe, and North America.
Speaking at the church 2025 Global Family and Marriage Conference, Pastor Kumuyi announced modifications to certain marriage rules that had long been regarded as doctrinal. He clarified that many of these practices were never rooted in the Bible but were merely administrative guidelines designed to provide structure.
One of the major changes is the cancellation of the restriction that prevented a lady from visiting her suitor before marriage. According to Kumuyi, intending couples may now visit each other during courtship, provided they are accompanied by an elder. The long-held six-month mandatory courtship period has also been scrapped. “We just felt you need some time to know one another. And then we said one month will be too short, two months too short. So, why not six months? But it is not from the Bible,” he said.
He stated the importance of Christians being able to distinguish between God’s commandments and church traditions.“As a Christian, you need to be so mature that you know the difference between the law of God and the principles in the church. Six months is all right, but it’s not something inflexible. If we change it to three months, we’re not changing the Bible, because six months is not in the Bible,”
Pastor Kumuyi also clarified the role of marriage committees in Deeper Life, noting that their purpose was to provide guidance and not to exercise authority beyond what is written in the scriptures. “There’s no marriage committee in the New Testament. We created it to help you, not because we can give you a chapter and a verse. It is church administration,” he stated.
These changes are seen by people as another step in the ongoing review of church practices that many members and outsiders have often considered too strict. Since founding the church has faced both admiration and criticism for its distinct doctrines. Some of its earlier beliefs and practices have either been misinterpreted or have since evolved:
Technology Use: The church, which once opposed television and modern gadgets, now embraces media and social platforms for evangelism.read the gospel.
Marriage Rules: Inter-church marriages are now accepted, provided the partner is from a Bible-believing church with a holy standard of living.
Dress Code: The church still emphasizes modesty, but women no longer have to tie scarves at all times, and men are not strictly bound to suits.
Medical Treatment: While rumors once suggested Deeper Life discouraged hospital visits, today members are encouraged to seek proper medical care when needed.
Christmas Celebrations: Although many members spend Christmas at church camps, the church has clarified that celebrating Christmas is not forbidden.
Other misconceptions, such as supposed food restrictions or claims that Pastor Kumuyi had relocated to the UK, have also been dispelled.
Through these reforms, Pastor Kumuyi is reinforcing his long-held belief that while order is necessary in the church, it must never be mistaken for scripture.
Source: City People
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Black Market Dollar (USD) To Naira (NGN) Exchange Rate Today 12th September 2025

What is the Dollar to Naira Exchange rate at the black market also known as the parallel market (Aboki fx)?
See the black market Dollar to Naira exchange rate for yesterday 11th September, below. You can swap your dollar for Naira at these rates.
The exchange rate for a dollar to naira at Lagos Parallel Market (Black Market) players buy a dollar for N1530 and sell at N1550 yesterday 11th September 2025, according to sources at Bureau De Change (BDC). …CLICK LINK TO CONTINUE READING
News
2027: Jonathan’s running mate picked as campaign posters hit internet

The likelihood of former President Goodluck Ebele Jonathan entering the presidential race in 2027 is becoming increasingly apparent, particularly given the recent developments surrounding his potential candidacy.
Reports suggest that Jonathan is discreetly meeting with key political figures across the country, which adds to the anticipation surrounding his possible return to politics. Click link to continue reading.
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2025: Nigeria Missed Out As Ghana Other Meet Top 10 African Countries With Stable Power Supply Emerge

More questions have been raised over the incompetence of the power sector in the country as Nigeria as many African countries making significant strides in enhancing their power supply stability by investing in modern electricity transmission networks, advanced grid infrastructures, renewable energy sources, and natural gas.
Their diversification prevents disruption in their electricity distribution. Foreign collaboration and smart technology are also some of the positive factors that support these countries’ power sector. …click link for full list here
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