Aba Power explains tariff hike, pledges improved services

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APL Electric Company Limited (APLE), a fully privately owned and independent electricity distribution company, has assured its customers that the recent tariff adjustment, effective January 1, 2025, will be accompanied by enhanced service delivery. This was contained in a press statement signed by the Managing Director of APLE, Barr Ugo Opeigbe.

Barr Opeigbe made it known that the adjustment aligns with the regulatory framework established by the Nigerian Electricity Regulatory Commission (NERC), aimed to provide significant customer benefits while reflecting the current macroeconomic realities affecting the power sector.

“Prior to this adjustment, APLE organized three days of customer engagement across its service area to discuss the subject. This engagement was widely publicized through radio announcements, social media platforms, and newspaper publications, demonstrating the company’s commitment to open and transparent communication with its customers,” he added.

The key benefits of the tariff adjustment include improved supply, a rapid meter rollout, network expansion and maintenance, and faster turnaround time on fault clearance. Customers can expect a more reliable and consistent power supply, ensuring fewer disruptions and enhanced service delivery. Over 40,000 meters will also be deployed to bridge the metering gap, ensuring fair and accurate billing. This initiative empowers customers with better control over their electricity usage.

He added the company is also expanding its network to serve more areas, enabling better power network maintenance and fewer outages. The company aims to reduce the turnaround time to address and resolve power faults by enhancing the 24/7 night patrol team with more resources, including personnel and security.

“The tariff adjustment reflects the current macroeconomic realities and allows us to continue investing in infrastructure improvements. Our customers will benefit from a more consistent power supply, network expansion, and faster fault resolution.”

Unlike legacy distribution companies (DisCos), APLE receives no government subsidies or interventions. Consequently, the tariff charged by APLE is entirely cost-reflective and directly linked to the actual costs of power generation, distribution, and other operational expenses. While other DisCos implemented upward tariff adjustments as early as April 2024, APLE kept its rates unchanged for over eight months, maintaining the lowest tariffs within its service area. This decision underscored APLE’s commitment to shielding its customers from the full brunt of economic pressures for as long as possible.

As a 100% privately owned DisCo, APLE operates independently without access to government subsidies, funding its operations through the revenue generated. The company bears the entire power procurement cost, operational expenses, and financial obligations.

APLE has also invested significantly in upgrading most of its feeders to ensure improved power supply. Presently, the company has only one Band E feeder, further demonstrating its dedication to enhancing service delivery.

For postpaid customers those without prepaid meters who raised concerns about estimated billing, APLE’s Chief Operating Officer (COO), Engr. Blessing Ogbe, assured that the company strictly adheres to NERC’s capping methodology.

“There is no such thing as overbilling or Estimated billing. Our energy intake is monitored by three independent bodies that is, the DisCo, the market operator, and the regulator. Everything we do is under NERC’s supervision, and Aba Power remains the only DisCo that has never been penalized for violating billing regulations,” Ogbe stated.

Mr Edise Ekong, manager Branding and communication for Aba Power., condemned the increasing cases of vandalism, which he described as a major threat to service delivery.

“Energy theft and vandalism are crippling our operations. It’s like a tapeworm draining our resources. We are constantly battling sabotage, and we need public cooperation to put an end to this menace,” he lamented.

Echoing this concern, APLE’s Head of Technical, Engr. Simeon Akpata, disclosed that over 72 transformers were vandalized in Aba in 2024 alone.

Despite the challenges, APLE reassured customers of its commitment to providing better services. The company is actively investing in infrastructure and implementing measures to enhance power supply reliability in Aba.

“We are making the necessary improvements to ensure our customers receive the best possible service. With the right structures in place, we are confident of delivering on our promises,” the DisCo assured.

Amid the current economic challenges, Geometric Power Group’s Branding and Communication Consultant, Nkiru Joel, advised customers on practical ways to manage energy consumption.

“We encourage customers to budget for power and adopt energy-saving habits, like turning off appliances that are not in use. Additionally, we urge the public to help safeguard our infrastructure by reporting vandalism and suspicious activities,” she said.

Customer satisfaction remains the company’s top priority, and it is committed to serving better every day. APLE assures its customers that it will continue to provide reliable and high-quality services amidst the challenging economic environment. The company’s ongoing investments in infrastructure and its transparent communication with customers underscore its commitment to excellence and customer satisfaction.

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