NERC punishes 11 DisCos N10.5 billion for overbilling unmetered consumers

The Nigerian Electricity Regulatory Commission, NERC, has imposed a fine of N10.5 billion on all eleven Electricity Distribution Companies (DisCos) for failing to comply with the stipulated cap on projected billing for unmetered customers across the country.

This information was provided in a statement issued by the commission’s management on February 8.

According to the statement, the Discos have ignored the legal credit cap for unmetered users and imposed arbitrary fees on them.

NERC highlighted that this move violates Section 34(1)(d) of the Electricity Act of 2023.

The statement states in part:

• “In response to this and the bid to safeguard customers from arbitrary billing by DisCos, the Commission, pursuant to Section 34 (1)(d) of the Electricity Act 2023 (EA 2023) has issued the Order on Non-compliance with the capping of estimated bills which stipulates the following:  
• Credit Adjustment to Customers: Discos are to issue credit adjustments to all overbilled for the period of January to September 2023 by the March 2024 billing cycle.  
• Public Notice: DisCos have been directed to publish the list of credit adjustment beneficiaries in two national dailies and on their website no later than 31st of March 2024. 
• Regulatory Sanctions: the commission shall deduct a sum of N10, 505, 286,072 from the annual allowed revenues of the eleven (11) DisCos during the next tariff review, to determine future non-compliance with the energy caps approved by the Commission. 
• “The commission reaffirms it’s commitment to regulatory compliance and consumer protection with the Nigerian Electricity Supply Industry.”