The Nigerian Electricity Regulatory Commission (NERC) has imposed N1.69 billion fine on the Abuja Electricity Distribution Company (AEDC) for overbilling its customers.
This penalty, outlined in Order NERC/2024/114, was part of the commission’s September 2024 Supplementary Order, published on NERC’s website on Thursday. The fine results from AEDC’s non-compliance with NERC’s previous order on capping estimated billing for electricity consumers.
Following an investigation, NERC discovered that AEDC overcharged customers from January to September 2023. The fine, equivalent to 10 per cent of the overbilled amount, will be deducted from AEDC’s annual operating expenditure, effective September 2024.
NERC also mandated AEDC to improve service delivery, including ensuring continuous monitoring of electricity supply to Band A feeders and compensating customers for service failures.
Additionally, AEDC is required to procure 61MW of embedded generation by April 2025, with at least 30MW sourced from renewable energy, to enhance supply reliability. These measures reflect NERC’s commitment to ensuring fair billing practices and holding electricity distribution companies accountable.