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NERC fines AEDC, others for overbilling customers

The Abuja Electricity Distribution Company (AEDC) and other electricity distribution companies have been fined for overbilling customers.

The AEDC alone will pay a N1.69 billion fine, according to a publication by the Nigerian Electricity Regulatory Commission (NERC).

The fine is detailed in Order NERC/2024/114, published on NERC’s website on Friday.

NERC says it is part of its September 2024 Supplementary Order.

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 found 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.”

The document also stated that AEDC’s annual operating expenditure would be reduced by N1.69 billion, effective from September.

The order said that the Benin Distribution Company was fined N804 million, Enugu Distribution Company N310 million, Eko Distribution Company N1.41 billion, while Ibadan Distribution Company was fined N15 million.

According to the order, Ikeja Distribution Company will pay a N1.41 billion fine, Jos Distribution Company N1.33 billion, and Kaduna Distribution Company N115 million.

Others include Kano Distribution Company with a fine of N20 million, Port-Harcourt Distribution Company N1.16 billion, and Yola Distribution Company N54 million.

The NERC noted that the penalty was a response to the distribution companies’ non-compliance with previous directives aimed at capping estimated billing for electricity consumers.

(NAN)

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