The categorization of electricity consumers into different bands has become a nightmare of most Nigerians, particularly the low-earning residents that fall under the Band A.
The major concern for consumers is that areas with a high population of low-income earners were enrolled in the Band A.
Juliet Samuel is a hairdresser in Dawaki who makes less than N100,000 from her hair business. But she is faced with a fresh challenge of spending more than N40,000 for electricity alone after she was moved to Band A.
“My small business is threatened. The cost of power has doubled and I have complained to the Abuja Electricity Distribution Company to remove me from the Band A.
“I can’t cope with it. They are suffocating me. They will leave some of us with no option other than to bypass,” she said.
Under the Service-Based Tariff (SBT), Band A customers are entitled to a minimum of 20 Hours; Band B has a minimum of 16 Hours; Band C customers are entitled to a minimum of 12 Hours and Band D: Minimum of 8 Hours.
The last band- Band E customers are entitled to a minimum of 4 Hours daily. This is according to Nigerian Electricity Regulatory Commission (NERC) classification.
As of July 2024, a unit of kilowatt for Band A electricity in Nigeria is currently priced at N209.50 per kilowatt-hour.
For Band B customers, a unit of kilowatt of electricity in Nigeria is around N63 per kilowatt-hour.
Alhaji Haiba runs a small business on Anointed Garden Avenue in the Dawaki area of the Federal Capital Territory. Before he was moved to Band A, Haiba said N10,000 units lasted him for weeks.
But in mid-February this year, he was moved to Band A, an action that has frustrated his business.
“I am considering increasing the price of the ice block above the current price of N400.
“This has raised my cost of producing ice nearly by double.”
The businessman said using fuel is also not a viable option due to the cost per litre of Premium Motor Spirit, which is over N900.
Alhaji Haiba is one of the many individuals and businesses who are impacted negatively by the tariff scheme.
Akpan is another customer who has been impacted by the upgrade to Band A. But he said he is spending double of what he spent before he was moved to Band A.
“This is a bad experience for a low-income earner like me. I feel frustrated with the Band A. I don’t use my lights as I should because I have to turn off almost everything.
“Sometimes I turn off my fridge, lights and leave only a few sockets for charging phones,” Akpan lamented. “I have changed my lifestyle and consumption of electricity.”
Speaking with a customer representative of AEDC in Gwarimpa, Abuja, it was revealed that the “affected customers are connected to a 33kVA feeder line.”
The AEDC representative said the Band A classification is based on the service level, not only the voltage of 33kVA.
