The Nigerian Electricity Regulatory Commission (NERC) has taken a decisive stand against the controversial practice of estimated billing by electricity distribution companies (DisCos) in Nigeria, imposing a collective fine of ₦628 million on eight of the country’s major DisCos. These companies have been found in violation of NERC’s regulations by repeatedly billing customers without providing them with accurate, metered readings.
The DisCos targeted by the fine have been under scrutiny for their failure to adequately implement the Meter Asset Provider (MAP) scheme, which was introduced by NERC in 2018 to ensure that every electricity consumer is metered and billed according to their actual usage. The MAP initiative was designed to phase out estimated billing, which many consumers argue is arbitrary and results in overcharging.
According to NERC, the affected DisCos, representing several regions of the country, have repeatedly failed to meet the required standards for metering installation and customer satisfaction. As part of the penalty, these companies will be required to reimburse overcharged consumers and take immediate steps to implement effective metering solutions across their coverage areas.
The fine underscores the regulator’s commitment to protecting consumers from unfair practices and holding DisCos accountable for their service delivery. NERC has made it clear that this is part of a broader initiative to reform the electricity sector, improve service quality, and ensure that consumers are only billed for the energy they consume.
Industry stakeholders have welcomed the fine as a step in the right direction but stressed the need for continued pressure on the DisCos to comply with regulations and address the widespread issue of poor electricity infrastructure. NERC has vowed to continue monitoring the situation closely and take further action if necessary to ensure that Nigerian electricity customers are treated fairly.