LERC to embark on tariff review for the LEC and Jungle Energy Power

The Chairman of the Board of Commissioners of the Liberia Electricity Regulatory Commission Dr. Lawerence D. Sekajipo has announced that In adherence to the regulations, the Commission will embark on a tariff review for the Liberia Electricity Corporation (LEC) in the coming months to be able to set up and approve new price level for electricity for customers connected to the LEC grid.

Dr. Sekajipo explained that the exercise will review all the cost drivers, assess the efficiency of those costs and incorporate emerging economic parameters in determining the tariff.

“The goal of the pending review, which is the same as the earlier review, is to ensure that the prices paid by the various customer categories reflect the just and prudent costs incurred by the Liberia Electricity Corporation in the provision of electricity to its customers”, he told journalists a news conference held on 19 June at the Commission’s headquarters.

The Commission, the LERC BoC Chairman elaborated, has begun the tariff determination process for Jungle Energy Power, Incorporated (JEP) for its distribution areas in Nimba and Bong Counties.

He informed journalists that the goal of this process, “like that of the LEC process, is to ensure that the prices charged by JEP Inc. to customers connected to its distribution network in Nimba and Bong counties are cost reflective and ensure continuous improvements of the network to ensure stable supply of electricity”.

The Commission will provide updates to the public when that process is complete, and a new tariff is decided and approved by the Commission, Dr. Sekajipo told journalists.

In December 2021, the BoC approved new rates and charges for five categories of customers within the LEC network and the new rates and charges came into effect on 1 January 2022. The approved tariffs currently paid by customers will expire on December 31, 2024.

This was the first time in the history of the electricity sector of Liberia for the cost of electricity to be decided through a process that considered all the parameters in the generation, transmission and distribution of electricity.  

The five categories of customers announced were Social Customers, Prepaid Residential customers, Postpaid Residential customers, Prepaid Non-residential Customers, Postpaid Commercial customers and Medium Voltage customers.