Abuja Electricity Distribution Company (AEDC) has been imposed a fine of ₦1.69bn by the Nigerian Electricity Regulatory Commission for overbilling customers.
According to NERC, the fine is based on AEDC’s non-compliance with the commission’s previous order on capping estimated billing for electricity consumers.
The penalty was contained in documented ‘Order NERC/2024/114’ issued the commission.
The fine is part of the commission’s September 2024 Supplementary Order, dated August 30 and signed by Vice Chairman, Musiliu Oseni, and Commissioner, Legal, Licensing and Compliance, Dafe Akpeneye, obtained by Impact Newspaper on NERC’s website on Thursday.
After investigating AEDC’s billing practices, NERC identified that the company had overcharged customers from January to September 2023, leading to the imposition of the fine which is equivalent to 10 per cent of the overbilled amount.
The document outlined the reasons behind the fine and adjustments to AEDC’s revenue requirements and tariffs.
NERC said it had “approved the deduction of N1.69bn from the total annual OpEx of AEDC effective September 2024, being 10 per cent of the overbilled amount by AEDC for the period covering January-September 2023.”
NERC’s order emphasised, “The commission has approved the deduction of N1.69bn from AEDC’s annual operating expenditure as a penalty for non-compliance with the order on capping estimated bills.”
In addition to the fine, NERC also issued directives aimed at improving service delivery and monitoring compliance with service-based tariffs.
AEDC is required to ensure the continuous monitoring of its service levels, particularly regarding electricity supply to Band A feeders.
The Supplementary Order, which will remain in effect until a new tariff review is issued, underscores NERC’s commitment to ensuring that electricity distribution companies adhere to regulatory guidelines while protecting consumers from unfair billing practices.
