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From Fred Ezeh, Abuja
Federal Competition and Consumer Protection Commission (FCCPC) has backed the punitive action of the Nigerian Electricity Regulatory Commission (NERC) against the Abuja Electricity Distribution Company (AEDC) for violating the Supplementary Order to the Multi-Year Tariff Order (MYTO) 2024 for AEDC.
NERC had accused AEDC of implementing the new electricity tariff to customers who were not in Band A contrary to directive that the new electricity tariff was only for customers in Band A who, perhaps, enjoy 20 hours of light daily.
As a result, NERC directed AEDC to quickly reimburse all customers in Bands B, C, D, and E who were billed above the allowed tariff bands, and also pay ₦200 million as fine.
Dr. Adamu Abdullahi, Acting Executive Vice Chairman/Chief Executive Officer, FCCPC, in a statement, on Sunday, said the decision of NERC represents a crucial step towards upholding consumer rights and ensuring fairness within Nigeria’s electricity industry.
He said that NERC’s decision to penalise AEDC reinforces FCCPC’s strong advocacy for protecting consumers from unfair market practices, as mandated by FCCPC Act 2018, advocating more robust and vigilant enforcement, as well as greater transparency in billing and power supply, as a balance to the recently increased tariff for Band A customers.
He added: “We are pleased with NERC’s recent Order to DisCos to automatically downgrade any Band A feeder that does not enjoy the minimum requirement of 20 hours per day power supply for seven consecutive days.
“We also urge NERC to diligently enforce the proposed measures and collaborate with stakeholders to address consumer concerns, in order to foster a sustainable and consumer-friendly electricity market.”
Dr. Abdullahi re-affirmed FCCPC’s commitment to protecting consumers’ interests and ensuring equitable practices within Nigeria’s electricity sector, and expressed confidence that NERC will persist in imposing appropriate penalties on DisCos for violations, which will promote compliance and accountability in the electricity industry.
He also encouraged NERC to mandate DisCos to meter all unmetered Band A customers within 60 days, thus ensuring accurate billing and protecting consumers from arbitrary estimations. “This will address some of the concerns and promote consumer welfare under the current service reflective tariff regime.
“We also urge NERC to vigorously enforce the cap on estimated bills and ensure compliance with the required daily supply for respective tariff bands (A to E), thereby promoting fairness in billing practices.”
