Efficiency, integrity, transparency and the enforcement of rules are facilities that make for peace of mind, ease of life, confidence and hope that measured goals can be attained in any setting. These attributes can also foster trust, a sense of belonging, loyalty and patriotism within a society.
Where these are lacking, bit by bit, cracks occur, which over time lead to despondency and a sense of alienation in a society. The latter scenario is not the desire of any cohesive or would-be cohesive group or society.
So, it was cheery news last week when the Nigerian Electricity Regulatory Commission (NERC) slapped a hefty fine of N200 million on the Abuja Electricity Distribution Plc (AEDC) for the organisation’s failure to comply with regulatory directives regarding tariff billing.
NERC had found that the AEDC had been applying the new tariff indiscriminately across all customer bands, in what the commission called a “flagrant breach” of the prescribed customer band classifications outlined in its directives. This action, which directly contravenes the regulatory framework designed to ensure equitable billing practices, prompted NERC to take swift enforcement action.
In addition to the substantial fine imposed on AEDC, the Commission has directed the electricity distributor to take immediate corrective measures, as the AEDC has been ordered to reimburse all customers falling within Bands B, C, D, and E who were billed above the allowed customer categories/tariff bands specified in the order.
Furthermore, affected customers are entitled to receive the balance of customer tokens they would have been entitled to, at the applicable rates. These token reimbursements are to be issued to the affected customers no later than April 11, 2024.
The NERC’s directive also requires AEDC to provide evidence of compliance with the reimbursement directives by April 12, 2024, saying that failure to adhere to these directives could result in further regulatory action.
The Commission then reiterated its commitment to safeguarding consumer rights and ensuring equitable practices within Nigeria’s electricity sector.
This was not an isolated case. Weeks earlier, on Monday, February 12, the Federal Competition and Consumer Protection Commission (FCCPC) had cause to commend NERC for its action against eleven Electricity Distribution Companies (DisCos) for non-compliance with the capping of estimated bills for unmetered customers.
The FCCPC stated that the decisive measure aligned with its mandate as outlined in the Federal Competition and Consumer Protection Act (FCCPA) 2018, particularly Section 17 (s), which empowers the Commission to protect consumers from obnoxious practices or unscrupulous exploitation by companies, firms, trade associations or individuals, and to demand redress on their behalf.
It is heartwarming to see NERC more consistently act out its avowed commitment to safeguard metered and unmetered customers from arbitrary billing by DisCos. The capping regulation was a significant step towards ensuring fairer treatment for those without meters.
NERC is encouraged to consider even stronger measures to deter future violations. This could include increased financial penalties as in the recent case, as well as stricter enforcement mechanisms, and even the revocation of operating licenses for persistent offenders.
We observe that the FCCPC also, has reiterated its unwavering commitment to ensuring a better deal for electricity consumers in Nigeria. Apart from its routine resolution of electricity consumer complaints, the commission has pledged to continue to organise electricity consumer platforms across the country. These platforms have provided invaluable opportunities for consumers to voice their complaints and receive instant responses and redress from DisCos and regulators, including the FCCPC over time.
As has been stated by the FCCPC, fundamental reforms are necessary to address the systemic challenges facing the power sector, including metering gaps, billing malpractices, and inadequate customer service.
Consumers who have been bruised by unfair and unsavory acts within the system should be encouraged to come forward and lodge complaints with their respective DisCos, and escalate such complaints to NERC or the FCCPC, when not satisfactorily resolved.
In this age of technological advancement, the applicable tools can and should be applied to measure and ensure efficient and precise delivery of utility and billing.
Unscrupulous individuals and agencies must not continue to be allowed to bleed hapless subscribers who are already pressed between a rock and a hard place by the economic downturn.
Kudos to NERC for living up to its billing.
