Eko DisCo to begin 7.5% VAT charges Feb. 1

The amount customers pay for electricity meters is set to go up in Lagos as Eko Electricity Distribution Company (EKEDC) has disclosed that the prices of meters sold under the Meter Asset Provider (MAPP) scheme would be reviewed upward from Feb. 1.

ExpressDay recalls that the Federal Government recently hiked the VAT charges from 5% to 7.5% as part major tax reform for the 2020 fiscal year.

EKEDC in a statement on Wednesday said the move was in compliance with the tax reform by the government.

In the statement signed Mr Godwin Idemudia, General Manager, Corporate Communications, EKEDC, the utility said customers were now expected to pay N39,765.86 (VAT inclusive) for a single-phase meter instead of N38,325 and N72,085.68 (VAT inclusive) for a three-phase meter instead of N70, 350.

According to Idemudua, the VAT on tariffs have been adjusted to accommodate the new 7.5 per cent rate, while service charges on installment meter payments through MAP will be reviewed to accommodate the new VAT charge.

While commending EKEDC customers for their support to the DisCo, he urged them to ensure they always pay their bills on time, to enable the company have funds to execute several projects aimed at improving service delivery within its operational network.