The Nigerian Electricity Regulatory Commission (NERC) has imposed a fine of ₦628.03 million on eight electricity distribution companies (DisCos) for failing to comply with the capping of estimated billing for unmetered customers.
In a statement issued on Thursday, NERC explained that the sanction followed a review of the DisCos’ billing practices between July and September 2024, which revealed that these companies had disregarded the monthly energy caps set by the Commission.
The fines, which represent 5% of the total overbilling during the period, were levied against Abuja, Eko, Enugu, Ikeja, Jos, Kaduna, Kano, and Yola DisCos.
NERC also directed these DisCos to provide credit adjustments to all customers who had been overbilled, with the corrections to be completed by May 15, 2025, coinciding with the close of the April 2025 billing cycle.
This move underscores NERC’s ongoing commitment to ensuring consumer protection and enforcing compliance within Nigeria’s electricity sector, particularly concerning arbitrary billing practices.
The Commission reminded the public that in 2020, it issued the Order on Capping of Estimated Bills (Order No: NERC/197/2020), followed by the implementation of monthly energy caps. These measures were designed to bring estimated bills for unmetered customers in line with the actual consumption patterns of metered customers on the same supply feeder.
A review of the billing practices for the July–September 2024 period revealed significant non-compliance with these established caps. As a result, the total fine imposed on the non-compliant DisCos amounts to ₦628,031,583.94 (₦628 million), representing 5% of the gross overbilling during that period.
In its statement, NERC reiterated its commitment to ensuring regulatory compliance and safeguarding consumer rights within the Nigerian Electricity Supply Industry.
