NERC has penalized eight Electricity Distribution Companies (DisCos) with a cumulative fine of ₦628.03 million for violating the cap on estimated billing of unmetered customers.
The below DisCos have been penalized by NERC and they are Abuja, Eko, Enugu, Ikeja, Jos, Kaduna, Kano, and Yola, a Thursday statement by NERC indicated. The penalty is pursuant to Section 34(1)(d) of the Electricity Act 2023, which empowers the Commission to compel compliance in the sector.
The sanctions were issued after a review of the billing practices during July through September 2024 found that DisCos failed to keep within NERC’s monthly energy limits. Such limits were put in place to ensure estimated unmetered consumers’ bills consider the average usage of the metered customers within the same feeder.
According to NERC, the sanctioning is 5% of total value overcharge reflected within the quarter.
In addition to the cash refunds, the DisCos involved have been directed to make credit adjustments to all the overcharged customers up to May 15, 2025, concurrent with the closure of the April billing cycle.
The Commission reasserted its dedication to regulatory compliance and consumer protection with a warning note that no indiscriminate bill collection practices would be permitted to prevail.
NERC reminded the public that it had issued the Order on Capping of Estimated Bills (Order No: NERC/197/2020) in 2020, and subsequent monthly energy caps, to avert over-billing of unmetered customers.
“The Commission reaffirms its commitment to regulatory compliance and consumer protection in the Nigerian Electricity Supply Industry,” NERC stated.
