NERC Fines 8 DisCos N628.03m for Overbilling Unmetered Customers
The Nigerian Electricity Regulatory Commission (NERC) has imposed a total fine of N628.03 million on eight Electricity Distribution Companies (DisCos) for failing to comply with the capping of estimated billing for unmetered customers.
The affected DisCos include Abuja, Eko, Enugu, Ikeja, Jos, Kaduna, Kano, and Yola Electricity Distribution Companies.
The fines were imposed in accordance with Section 34(1)(d) of the Electricity Act 2023, following a review of billing practices between July and September 2024. The review revealed that the DisCos did not adhere to NERC’s monthly energy caps, which are designed to align estimated bills for unmetered customers with the actual consumption of metered customers on the same feeder.
The imposed fines represent 5% of the gross overbilling during the review period. In addition to the financial penalties, NERC has mandated the DisCos to provide credit adjustments to all overbilled customers by May 15, 2025, marking the end of the April 2025 billing cycle.
NERC reiterated its commitment to consumer protection and regulatory compliance, emphasizing its stance against arbitrary billing practices. The Commission’s 2020 Order on Capping of Estimated Bills (Order No: NERC/197/2020) and subsequent energy caps were designed to curb overbilling and ensure fairness in the electricity sector.
