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Home Energy Reports

NERC Fines 8 DisCos N628m For Flouting Estimated Billing Capping Order

News Editor by News Editor
April 10, 2025
in Energy Reports
0
NERC Fines 8 DisCos N628m For Flouting Estimated Billing Capping Order

By SUNDAY ABBA, Abuja

The Nigerian Electricity Regulatory Commission (NERC) has sanctioned 8 distribution companies (DisCos) for for failing to fully comply with the monthly energy caps issued by the Commission between July – September 2024 (2024/Q3).

According to a statement issued by the Commission on Thursday, the affected DisCos are: Abuja, Eko, Enugu, Ikeja, Jos, Kaduna, Kano, and Yola.

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“Pursuant to section 34(1)(d) of the Electricity Act 2023 (“EA 2023”), the Commission has sanctioned eight (8) Electricity Distribution Companies (“DisCos”) – Abuja, Eko, Enugu, Ikeja, Jos, Kaduna, Kano, and Yola, for failing to fully comply with the monthly energy caps issued by the Commission between July – September 2024 (2024/Q3),” the statement read in part.

Recall that in 2020, the Commission issued the Order on Capping of Estimated Bills (Order No: NERC/197/2020) and subsequently issued monthly energy caps which aimed to align the estimated bills for unmetered customers with the measured consumption of metered customers on the same supply feeder.

According to NERC, a review of DisCos’ billing of unmetered customers for July – September 2024 (2024/Q3) revealed non-compliance with the monthly energy caps issued by the Commission.

“The non-compliant DisCos have been sanctioned to pay fines amounting to six hundred and twenty-eight million, thirty-one thousand, five hundred and eighty-three naira and ninety-four kobo (N628,031,583.94), which is equivalent to 5% of the naira value of the gross overbilling for the period under review,” NERC said.

Reaffirming its commitment to regulatory compliance and consumer protection within the Nigerian Electricity Supply Industry (NESI), the Commission said it had also mandated the DisCos to issue commensurate credit adjustments to all customers affected by the overbilling by 15th May 2025 – the end of the April 2025 billing cycle.

Tags: Nigerian Electricity Regulatory Commission
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