International News
NERC: States Cutting Power Tariffs Required to Fund Subsidy
The Nigerian Electricity Regulatory Commission (NERC) has stated that state governments lack jurisdiction over the national grid and power stations established under federal laws or operating with licenses issued by the commission.
The commission stated this in its reaction to the controversies generated by the Enugu Electricity Regulatory Commission’s decision to slash the Band A tariff.
In a notice on Thursday, the national power regulator advised state governments to reflect the wholesale costs in tariffs or be ready to pay subsidies for any tariff shortfall.
The commission acknowledged that states that have assumed full regulatory oversight over their intrastate markets are now authorized to create and regulate transactions in their state electricity markets, saying this extends to the development of tariff methodologies that shall apply to end-use customers in their respective states.
This came as the power distribution and generation companies warned that states’ absolute power to determine tariffs begins when they start generating and transmitting electricity.
The NERC, in its notice on Thursday, cautioned, “As states do not have jurisdiction over the national grid and over electric power stations established under federal laws/operating under licences issued by the commission; they must holistically incorporate the wholesale costs of grid supply to their states without any qualification or deviation in their design of tariffs for end-use customers in order not to distort the dynamics of the market or be prepared to make a policy intervention by way a subsidy for any deviation in the tariff structure that distorts the wholesale generation, transmission and legacy financing costs in the Nigeria Electricity Supply Industry.”
NERC said no institution would take decisions that expose the national grid and wholesale electricity market to a financial crisis in contravention of express powers granted to them by the constitution.
“The commission’s attention has been drawn to the increasing stakeholders’ concerns on the Tariff Order (Order No. EERC/2025/003) issued by the Enugu State Electricity Regulatory Commission, to its Licensee Mainpower Electricity Distribution Limited that relies exclusively on electricity supply (generation and transmission) from the national grid.
“NESI stakeholders have expressed concern about the consequences of the reduction of tariffs for Band A customers in MEDL’s network area to N160.4 per kWh and the freezing of tariffs of customers in the other bands on the wholesale generation and transmission costs, along with the financing costs for legacy obligations in NESI. It is pertinent to state that the N160.4 per kWh was arrived at largely by reducing the current average Generation Tariff of N112.60 per kWh to NGN45.75, with an assumption of a subsidy component, a difference of N66.85 per kWh.
“Section 34(1) of the EA places a statutory obligation on the commission to create, promote and preserve efficient electricity industry and market structures, and ensure the optimal utilisation of resources for the provision of electricity and we are also aware that EERC as a sub-national electricity regulator also has a similar statutory obligation in their enabling law; and neither NERC nor EERC as responsible regulatory institutions would take decisions that expose the national grid and wholesale electricity market to a financial crisis in contravention of express powers granted to them by the constitution,” the Federal Government agency said.
It informed all stakeholders that the commission is currently engaging EERC on their tariff order as it relates to any perceived area of misinterpretation/misunderstanding on wholesale generation and transmission costs on their import of power from the national grid and grants further assurances of its unwavering statutory commitment that the electricity market will be made whole in terms of cost recovery in compliance with the laws of the Federal Republic of Nigeria.
Meanwhile, the Association of Nigerian Electricity Distributors and the Association of Power Generation Companies said the Enugu Electricity Distribution Company and other states contemplating tariff reductions should wait till they start generating and transmitting their electricity before slashing tariffs.
The Chief Executive Officer of ANED, Sunday Oduntan, told Band A customers in Enugu State not to rejoice yet, saying there can’t be a 20-hour power supply at N160 per kilowatt-hour.
On Sunday, the Enugu Electricity Regulatory Commission announced the reduction of the Band A electricity tariff from N209/kWh to N160/kWh, asking MainPower Electricity Distribution Company to implement this from August 1.
The decision has since sparked crises as generation and distribution companies accused the EERC of attempts to create more financial burden in the power sector, saying no state should impose more subsidy obligations on the Federal Government that is still owing N5.2tn of unpaid shortfalls.
While the ERRC said it did its calculations well before dropping the tariff to N160/kWh, Oduntan warned that no state has the power to determine the cost of electricity at the moment, stressing that the states can only align with the tariff order of the Nigerian Electricity Regulatory Commission, except if the value chain totally belongs to them.
Earlier in a statement, Oduntan raised the alarm over growing consumer resistance to electricity bill payments following the tariff cut by the Enugu State Electricity Regulatory Commission, warning that the move threatens to destabilise the country’s fragile power sector.
He disclosed that since EERC announced a reduction in Band A tariffs, customers in other states have begun to demand similar cuts, with some outrightly refusing to pay their electricity bills.
The Chief Executive Officer of the Association of Power Generation Companies, Joy Ogaji, also shared the same sentiment. According to her, states cannot unilaterally fix tariffs because they do not produce electricity.
“The fact speaks for itself. The fact that EERC still regulates a product it does not produce at the state level, but from the wholesale market, they cannot unilaterally regulate that price,” she said.
Ogaji added that the EERC made reference to NERC’s tariff regulations, which assume a subsidy that she deemed imaginary because there is no written policy from the Federal Government stating that there is a subsidy, nor is there a financing plan to backstop the ever-growing and accumulating debts, which have impaired GenCos’ books.
“Their claim based on an imaginary subsidy is baseless. You can’t build something on nothing. Tariff documents are not child’s play. They form the fulcrum for many decisions, including business decisions, potential investors, and so on.
“This regulatory rascality will not be sustainable for decentralisation. Do you even have a justification for claiming a subsidy? Let’s assume there is one in a federal market, you have applied to be independent of? Can you eat your cake and still have it? How do you even claim this subsidy as a state? Unfortunately, we lack leadership in this sector,” she said.
Meanwhile, the EERC clarified that its recent tariff cut did not tamper with the prevailing cost of power generation in the country in any way. The commission maintained that, based on MainPower’s costs, there was no justification to keep the price of electricity for Band A at N209/kWh in the state.
In a statement by EERC’s Commissioner for Electricity Market Operations, Reuben Okoye, the agency maintained that although it inherited the current tariff regime, “the commission is focused on developing a sub-national electricity market that is transparent, accountable, reliable and sustainable and therefore will review utility costs of service to achieve its mandate to the people of Enugu.”
International News
Paraguay’s President Santiago Peña Impeached And Arrested Over Bank Collapse
Paraguay’s President Santiago Peña has been impeached and placed under house arrest.
Peña was arrested on Friday minutes after lawmakers, including from his own party, voted to remove him from office due to a crisis triggered by the collapse of Ueno Bank earlier this week.
He had offered to step down on Thursday, but the move to impeach him and charge him with misconduct rather than accept his resignation meant he was stripped of his lifetime Senate seat and the immunity granted to ex-presidents.
Peña, who until last year held shares in the company that owned the bank, has denied any wrongdoing.
The demise of the digital bank has left more than half of Paraguay’s population without access to their savings after it was seized by Paraguay’s central bank.
An estimated three million depositors remain unable to access their savings and pensions prompting widespread protests particularly in the capital, Asunción.
The impeachment charges that led to Peña’s removal alleged he had conflicts of interest, manipulated regulatory oversight, diverted pension funds, and participated in an institutional cover-up involving the central bank.
Peña is due to be questioned today (Saturday) over allegations of breach of trust, influence peddling, and misappropriation of funds, prosecutor Silvia Margarita Gonzalez Vester said.
Peña’s impeachment passed with 44 out of 45 senators voting in favour of it. One lawmaker was absent.
Afterwards, senate president Basilio Núñez said Peña was found guilty of “dereliction of duty”.
Paraguay’s Vice-President Pedro Alliana was then sworn in as interim President.
“Compatriots who are now going through a difficult time as a result of the financial collapse will be fully compensated,” said Alliana, who will serve as President until 2028.
Pedro Alliana takes the oath of office as interim President
Senator Rafael Filizzola said: “We are facing the biggest corruption scandal in our democratic history – a tremendous blow to the state, to private citizens, and to the country’s credibility and image.”
Analysts say Peña is likely to now be prosecuted over the bank’s collapse.
His defence lawyer Ricardo Preda described the allegations as a “reckless accusation” that was “irresponsible and opportunistic”.
In an address to the nation on Thursday, Peña said that he was sorry and that “it was never my intention to betray the trust you placed in me”.
International News
Kenyan Doomsday Cult Leder Gets Life Sentence For Killing 191 People
A Kenyan court has sentenced the leader of a doomsday cult, Paul Mackenzie, to 200 years in prison for murdering 191 people, all but one of them children.
Alongside 27 others, Mackenzie was found guilty of the murders for instructing members of his cult to starve their children to death so they could “meet Jesus”.
Justice Diana Mochache said Mackenzie bore the “primary criminal culpability” for ordering his followers to fast to death, in one of Kenya’s deadliest episodes of religious extremism.
“The sentence is appropriate and just, to send an unmistakable message that such atrocities warrant the maximum penalties allowed by law,” the judge added.
The self-styled pastor was arrested in 2023 after the discovery of more than 400 bodies in shallow graves in Shakahola forest near the Kenyan coast. The sprawling investigation into the cases shocked Kenya and drew international attention.
Ahead of sentencing, prosecutors in the court in Mombasa had argued for the death penalty for Mackenzie because of the gravity of the crimes. Capital punishment has not been carried out in Kenya since 1987.
The prosecutors also cited what they described as Mackenzie’s lack of remorse for the crimes. They requested life sentences for his co-accused.
Before the hearing began on Friday morning, Francis Wanje, who lost eight relatives in Shakahola forest, including two grandchildren, told the BBC’s Newsday programme that he was “hoping for… a sentence which will match his [Mackenzie’s] deeds in the forest”.
Mackenzie and the co-accused have formally pleaded for mercy and asked for leniency from the court.
Before their conviction on 19 October, they had all pleaded not guilty and repeatedly insisted that nobody was forced to die.
Mackenzie’s followers believed he was “Jesus’s mouthpiece”, Justice Diana Mochache said as she delivered her eight-hour judgement last month.
Those who opposed Mackenzie’s teachings were beaten to death.
One of his co-accused said he had told his followers that anyone who “resisted the directive to fast must be forced to go to heaven through kicks and blows”.
Burials inside the forest where the cult was based were called “weddings” and those who died “were celebrated as having wedded with Jesus” the judge said.
The judge found that the deaths arose from an organised system, including religious teachings and directives that compelled followers to follow the deadly fasting.
Post-mortem results showed the cause of deaths to be starvation for most victims, while others died from suffocation, strangulation or head injuries.
The cause of death could not be determined for some, with their bodies having decomposed, while others died soon after their rescue as they were so emaciated.
International News
Comedian Russell Brand Found Guilty By UK Court Of Rape And Gexual Assaults
Comedian Russell Brand, once one of Britain’s most high-profile broadcasters and star of several Hollywood movies, faces a lengthy jail term after being convicted in a London court on Thursday of raping a woman and sexually assaulting three more.
Prosecutors said Brand, the former husband of US pop singer Katy Perry, was obsessed with sex and used women to satisfy his own desires. One victim said he treated her “like an animal”.
Funny and charming when he wanted to be, but also ruthless, calculating and manipulative, the 51-year-old, who starred in “Get Him to the Greek” and “Arthur”, was interested only in getting what he wanted from women, prosecutors told jurors at Southwark Crown Court.
“The evidence showed Brand to be a calculated sexual predator, using his growing fame and power to create situations in which he could pursue women sexually, regardless of what they wanted,” senior Crown prosecutor David Roberts said outside court.
Brand now faces jail and potentially further action as police said he was still under investigation for two other alleged rapes, one involving a then 16-year-old girl.
BRAND DENIED THE CHARGES
Brand, known for his loquacious manner and flamboyant appearance, had denied all the charges and ever having non-consensual sex, saying the incidents, which dated back more than 20 years, had either been consensual, reinvented or re-imagined.
He acknowledged in evidence he had dedicated a lot of his life to “reckless philandering and idiocy” but said sexual consent was fundamental.
But, following a four-week trial, the jury found him guilty of rape and three sexual assaults committed between 2004 and 2009. He was acquitted of two other rape charges and an attempted indecent assault.
Judge Joel Bennathan said Brand, who was refused bail, would be sentenced on Monday and faced a lengthy prison term.
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