By Seun Ibiyemi
The Nigerian Electricity Regulatory Commission (NERC) has imposed fines totalling ¦ 628,031,583.94 on eight Electricity Distribution Companies (DisCos) for failing to comply with the rules on the capping of estimated bills issued to unmetered customers.
This development was announced in a statement published on the Commission’s official website in Abuja on Thursday.
The affected DisCos include Abuja, Eko, Enugu, Ikeja, Jos, Kaduna, Kano, and Yola. According to the Commission, these companies were penalised for breaching the approved limits for estimated billing, with the fines amounting to 5 per cent of the naira value of the total overbilling recorded during the review period.
NERC explained that the sanctions were issued in line with Section 34(1)(d) of the Electricity Act 2023 (“EA 2023”), noting that the DisCos in question failed to comply fully with the monthly energy caps set by the Commission for the period spanning July to September 2024.
The statement recalled that back in 2020, NERC introduced the Order on Capping of Estimated Bills (Order No: NERC/197/2020), followed by the issuance of monthly energy caps intended to regulate the billing of unmetered customers.
These caps were designed to ensure that estimated bills for customers without meters would be consistent with the average energy usage of metered customers on the same distribution feeder.
However, a review of billing data for the third quarter of 2024 revealed that several DisCos had failed to adhere to these prescribed caps.
In response, the Commission has directed all affected DisCos to apply appropriate credit adjustments to the accounts of all overbilled customers no later than 15 May 2025, which coincides with the close of the April billing cycle.
NERC reiterated its ongoing dedication to enforcing regulatory standards and safeguarding consumer rights within the Nigerian Electricity Supply Industry.