The Nigerian Electricity Regulatory Commission (NERC) has imposed a total fine of N628.03 million on eight electricity distribution companies (DisCos) for violating energy billing regulations by overcharging unmetered customers.
In a statement issued on Wednesday, NERC named the sanctioned DisCos as Abuja, Eko, Enugu, Ikeja, Jos, Kaduna, Kano, and Yola. The commission said the penalties were due to noncompliance with the capping of estimated bills for the third quarter of 2024, covering July to September.
According to the commission, the fines were enforced under Section 34(1)(d) of the Electricity Act 2023, and represent 5% of the naira value of the total overbilling recorded during the review period.
“The public may recall that in 2020, the Commission issued the Order on Capping of Estimated Bills (Order No: NERC/197/2020), aimed at ensuring that estimated bills for unmetered customers align with the consumption levels of their metered counterparts on the same feeders,” the statement read.
NERC explained that an audit of billing practices for Q3 2024 revealed widespread noncompliance among the affected DisCos, prompting regulatory action.
In addition to the financial penalties, the commission has directed the DisCos to issue appropriate credit adjustments to all overbilled customers no later than May 15, 2025 — the end of the April 2025 billing cycle.
Reaffirming its regulatory stance, NERC assured electricity consumers of its continued commitment to transparency, fairness, and the enforcement of standards within the Nigerian Electricity Supply Industry (NESI).
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