Akinwande Soji-Ojo
The Nigerian Electricity Regulatory Commission (NERC) has fined 11 electricity distribution companies (DisCos) over N7 billion for “overbilling” customers.
NERC published the fine in its September 2024 supplementary order, on Friday.
According to the electricity regulator, out of all the DisCos, Abuja Electricity Distribution Company (AEDC) received the highest fine of N1.69 billion.
The order signed by NERC Vice Chairman, Musiliu Oseni, and Commissioner for Legal, Licensing and Compliance, Dafe Akpeneye, follows a comprehensive investigation into AEDC’s billing practices.
According to the order, NERC discovered that AEDC and other distribution companies overcharged customers between January and September 2023.
The commission said the respective fines “represent 10 per cent of the overbilled amount.”
NERC also said AEDC’s annual operating expenditure would be reduced by N1.69 billion effective from September 1.
Other DisCos penalised are Eko Distribution Company (EKEDC) (N1.41 billion); Benin Distribution Company (BEDC) (N804 million); Enugu Distribution Company (EEDC) (N310 million); and Ibadan Distribution Company (IBEDC) (N15 million).
According to the order, Ikeja Distribution Company (IKEDC) will pay N1.41 billion; Jos Distribution Company (JEDC) will pay N1.33 billion; and Kaduna Distribution Company (KAEDCO) N115 million as fines respectively.
Also, Kano Distribution Company (KEDCO), Port-Harcourt Distribution Company (PHDC) and Yola Distribution Company (YEDC) were fined N20 million, N1.16 million and N54 million respectively.
The commission said the penalty was a response to the distribution companies’ non-compliance with previous directives aimed at capping estimated billing for electricity consumers.
