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MYTO is an acronym for multi-year tariff order a tariff model designed by NERC that is incentive based regulation to ensure that the worst performance are called certain benchmarks that are determined in the industry both technical and non-technical to ensure that the industry has a cost-reflective tariff which allows the power sector to be properly funded and functional ,it is also expected to ensure that we have minor reviews of these parameters biannually and then we have extraordinary tariff review. These are the two parameters under can be changed.
The order MYTO 2020 is an order that has brought in the service band tariff that we have today and it is largely variant from the previous tariffs that PHED has had. It has defined the market into 5 bands. It means that the Discos can charge tariff that is reflective of the service.
The Service Reflective Tariff plan is as shown below;
1. Band A – Customers who receive minimum of 20 hours per day.
2. Band B – Customers who receive minimum of 16 hours per day
3. Band C – Customers who receive minimum of 12 hours per day
4. Band D – Customers who receive minimum of 8 hours per day
5. Band E – Customers who receive minimum of 4 hours per day
*Note: Bands D and E are not affected by this tariff review.
TAfter extensive process of consultation, the reviewed took effect September 1, 2020.
The uniqueness of the service band, 2020 has been such that Port Harcourt Electricity Distribution, plc. has classified their respective feeders. Feeders mean lines in which PHED uses to distribute power supply to customer. The feeders are divided into the 5 band classes. Below are the changes that have been made to the tariff classes.
At the moment, the order for MYTO does not allow band change. It is expected that the minor review that may come up in December, 2020 may tolerate band changes.
It is dependent on PHED improving service on the respective feeders under the bands where the customer belongs.
customer is in his/her present band as a result of where their premises is located as against the infrastructure that Distribution Company need to improve availability.
R2 customers fall under non-maximum demand customer class. Whether you are in band, A, B or C, you authomatically fall into the non-MD customer class.
In order for PHED to increase availability on a feeder, it will carry out overhaul on the feeders, note that supply comes from TCN and the feeders has been laid according to technical capacities.
The band that did not change under the MYTO 2020 remains those customers under band D and E. Those customers who receive a minimum of 8hours a day for band D and 4hours a day for band E because by MYTO 2020, they are receiving less than 12 hours supply.
If you recharge now, depending on the service band you fall under, the tariff became effective for customer under band A,B and C on September 1,2020.
The Nigerian Electricity Regulatory Commission (NERC) does not allow Distribution Companies to back bill, however if there is a need for PHED to make adjust to ensure that that the tariff which was used in vending is reflective of the existing MYTO, 2020.
The customer is paying more because the tariff is now being approved to be service reflective. It is not yet a cost reflective tariff. As at today, given the tariff sculpting, the cost reflective tariff for PHED is N64.82. The highest tariff under the service reflective tariff remains N55.02.
This is bound to happen however we strongly advise that customers to practice energy efficiency in order to conserve energy and save money.
PHED is currently having consultations with various clusters of customers within the band to see those who will like to increase the availability that they have. This is known as PHED premium service.PHED will take into cognizance the cost of investing in the area as this will reflect on the tariff when it is done
From now till December, 2020, there will be no movement in bands, however PHED will work towards receiving feedbacks from customers who may be willing to move to the next level of band. PHED will then work towards making an investment to meet such request.
