- NERC’s Revenue Hits N5.5b
The Nigerian Electricity Regulatory Commission (NERC) generated N5,535,581,000 as revenue in last year, The Nation learnt on Monday.
The cash includes operating fees on electricity-N10,531,093,000, licenses and fees-N498,931,000; and uncollectible operating fee on electricity-N5,314,443,000.
According to NERC Annual Report and Financial Statements – December 31, 2018, which Deloitte & Touche Chartered Accountants audited and signed on May 31, 2019, income from operating fees on electricity relates (to) levies paid by generation and distribution companies on a monthly basis on energy wheeled. The Commission is entitled to 1.5 per cent of tariff charge/kWh from generation companies and 1.5 per cent of licencee’s charges/KWh net of the cost of generation and transmission. Income is recorded based on monthly market credit advice received from operator of the Nigerian Electricity Market (ONEM).
“Income from licenses and fees relates to income generated payment received by the Commission on the provision of services such as metering, generating sets import permits, captive generation fees, generating and distributing companies processing, application, renewal fees,” the report explained.
Other incomes include N663,000 interest income, insurance claims, Industrial Training Fund (ITF) claims and sundry income-N25,979,000, subventions from Federal Government-N355,709,000, and grant received from MacArthur Foundation-N76,600,000, totaling N458,951,000.
The report also revealed that income from Federal Government represents subventions received from the Federal Government, stressing that in 2018, the Commission received N76,600,000 ($250,000).
The report also recorded Federal Capital grant allocations of N10,656,220,000 and N28,524,000 World Bank grant.
The report recored that capital fund from Internally Generated Revenue (IGR) stood at N3,627,152,000; employee benefit reserve-N142,547,000 all totaling N3,769,699,000.
The Commission, according to the report, recorded employee benefit reserve of N142,547,000 in the period under review.