Again, court stops NERC from increasing electricity tariff

A Federal High Court in Lagos yesterday rejected the prayer by the Nigerian Electricity Regulatory Commission (NERC) to give effect to its proposed hike in electricity tariff.

The Chairman of NERC, Dr. Sam Amadi, had, at a press briefing in May, disclosed the plan by the commission to embark on an upward review of electricity tariff across the country effective from June 1.

But pursuant to an ex parte application filed by a Lagos-based lawyer, Mr. Toluwani Adebiyi, Justice Mohammed Idris, on May 28, restrained NERC from going ahead with the proposed hike.

The commission, however, filed an application seeking to discharge the restraining order, as it claimed that Adebiyi misrepresented facts before the court and misled the court to grant same.

Counsel for the NERC, Mr. George Uwechue (SAN), also argued that the applicant failed to explore and exhaust all available remedies before rushing to court.

But in a ruling on Thursday, Idris discountenanced Uwechue’s arguments and dismissed the application, as he held that the application was not filed within seven days as stipulated by Order 26 Rule 11 and the applicant did not seek extension of time.

This failure, according to the judge, had rendered the defendant’s application, seeking to discharge the restraining order, incompetent.

“The ex-parte order of this court restraining hike in electricity tariff is valid and still subsisting,” the judge held.

Earlier, the judge had struck out the preliminary objection filed by NERC, challenging the applicant’s locus standi to institute the action.

The judge held that the defendant breached the provisions of Order 29, Rule 4 of the court’s Civil Procedure Rules by failing to file its preliminary objection within 21 days of being served with the applicant’s originating summons.