The Nigerian Electricity Regulatory Commission (NERC) has imposed sanctions on eight power distribution companies (DisCos) for failing to comply with the capping of estimated bills for unmetered customers. The affected companies are Abuja, Eko, Enugu, Ikeja, Jos, Kaduna, Kano, and Yola.
In a statement released on Thursday, NERC revealed that these DisCos overbilled customers during the third quarter of 2024 (July to September), in violation of the energy caps set by the commission. The sanctions were issued under Section 34(1)(d) of the Electricity Act of 2023.
NERC reminded the public that in 2020, it introduced the Order on Capping of Estimated Bills (Order No: NERC/197/2020) to regulate estimated bills for unmetered customers, ensuring they align with the consumption of metered customers on the same supply feeder. A review of billing practices for the third quarter of 2024 revealed that these DisCos did not adhere to the established energy caps.
As a result, the DisCos were fined a total of N628.03 million, which represents 5% of the gross overbilling amount for the period in question. Additionally, NERC has directed the companies to issue credit adjustments to the affected customers by May 15, 2025, before the end of the April 2025 billing cycle.
NERC reiterated its commitment to enforcing regulatory compliance and safeguarding the rights of electricity consumers in Nigeria’s electricity supply industry(NESI).
