Saturday, June 21, 2008

UNDERSTANDING YOUR ELECTRICITY BILL

I have come to discover that we need to start from the basics before we can really begin to talk about solving the power problem in Nigeria. So I begin this by carefully looking at what makes up the power supply bill.

Yes, the first step is to ensure you are on the Utility billing system

(in this case PHCN). Some people think they are smart when they

prefer bribing officials rather than getting and settling their

electricity bills, if only they know how much they are being shortchanged!

Many people who even have a bill just collect it and only consider

the "PAY TOTAL DUE NOW", then complain that NEPA or PHCN is

wicked. Do you really understand how your electricity bill is

structured? Let.s consider that now.

WHAT ARE THE INFORMATION ON YOUR BILL

1. Account No

This is the number that your Utility company (PHCN) gives to

you and it is peculiar to you alone. However, if you stay in a

building of several apartments owned by a single Landlord, the

different bills may carry the same name but the account

numbers will be different.

Hence, you need to identify and make sure you make payment

on the bill that bears only YOUR OWN ACCOUNT NUMBER.

2. Name

This is the name of the account(s) holder

3. Service Address.

This is address of the place being billed.

4. Due Date

Date reflecting the point up to which you are being billed from

the previous month

5. Meter No

The serial number on your energy meter.

6. ADC

Average Daily Consumption

7. DIALS

The number of digits that will be read from your meter

8. Previous balance

Outstanding debt/credit from the previous month

9. Adjustment

Adjustments made on your bills by the Utility company to correct

either under-billing or over-billing

10. Net Arrears

The Outstanding balance after the necessary adjustments have

been made.

11. Description

This determines what you are being charged for an a monthly

basis and is as follows:

I. ENERGY

II. FIXED

III. METER MAINT

ENERGY

This is computed from the following parameters:

a. Tariff Code- this determines the rates on which your bill will

be based and is basically structured into four parts for non-

MD customers:

Single Phase Residential Tariff -------------- R1 or R2

Three Phase Residential Tariff --------------- R3

Single Phase Commercial Tariff--------------C1

Three Phase Commercial Tariff---------------C2

These are the basic categories available, though there might be

some other subdivision as determined by the utility company for

certain areas.

So check your bill, are you placed on the right tariff. If You are a

Single Phase Residential Customer and instead of R1 or R2 you

have C1 on your bills, then it means you are being billed higher

than what you are using, because C1 is for commercial

customers and has a higher rate than R1 & R2.

b. Read Date

Shows the date the present readings recorded on bill was taken

c. Present Reading

Shows your meter reading against the date as recorded by your

utility company

d. Previous Reading

Shows your Meter reading for the preceding month

e. Multiplier

The multiplying factor which essentially would have a value of 1

as long as the accuracy of your Energy meter is not in doubt

f. Consumption

This is the difference between the Present and Previous readings

multiplied by the multiplier to give the value of the total units of

electric energy used for the month

g. Current Charges

Is the product of the Consumption above and applicable Tariff

rate

FIXED

This is the fixed charges the electric utility charges monthly as

long as you remain a customer of the company. It does varies

for the various tariff structures but it is fixed.

METER MAINT

This is also another fixed charge that PHCN introduced some

couple of years back. Though many people have queried the

introduction, as the meter maintenance services it is supposedly

meant for, is never carried out and customers still pay for

Energy Meters, the METER MAINT still remains on the bill and

presently fixed on N100 and N500 for single and three phase

customers respectively.

12. OTHERS

The other vital details on the bill include:

LAR- last actual readings which gives the readings and date your

Meter was physically read and the readings used in the

processing of your bill.

Your tariff structure rate

Reconnection fee, if your supply is disconnected as a result of

default in bill settlement.



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