The Nigerian Electricity Regulatory Commission (NERC) has imposed a fine of N200 million on the Abuja Electricity Distribution Plc (AEDC) for failing to comply with the Supplementary Order to the April 2024 Multi-Year Tariff Order 2024 for power distribution companies (DisCos).
In a letter dated April 5, 2024, addressed to the acting managing director, Victor Ojelabi, NERC revealed its enforcement action against AEDC. The fine was levied due to AEDC’s failure to adhere to the prescribed customer band classifications for tariff billing, as outlined in the Commission’s Order.
Following a thorough review and customer feedback, NERC found that AEDC had applied the new tariff of N225 per kilowatt hour to all customer bands, contrary to the Order’s provisions aimed at ensuring fair billing practices.
NERC directed AEDC to refund customers in Bands B, C, D, and E who were billed above the allowed customer categories/tariff bands specified in the Order. The reimbursement is to be made by providing the balance of customer tokens at the applicable rates, with all token reimbursements issued to affected customers by April 11, 2024.
Additionally, AEDC must pay the N200 million fine and submit evidence of compliance with the directives to the Commission by April 12, 2024.
This enforcement action by NERC underscores its dedication to safeguarding consumer rights and promoting fairness within Nigeria’s electricity sector.
