The Nigerian Electricity Regulatory Commission, NERC has imposed a fine of N200 million on Abuja Electricity Distribution Plc, AEDC for breaching tariff regulations.
NERC made this announcement via its official statement released on Friday.
NERC stated that AEDC incurred the penalty due to its failure to comply with the prescribed tariff guidelines, causing concern among consumers and industry stakeholders.
The regulatory agency emphasized that the decision to fine AEDC follows a comprehensive examination and feedback from customers, revealing that AEDC had implemented the new tariff across all customer categories, contrary to the stipulated Order aimed at ensuring equitable billing practices.
It, therefore, mandated AEDC to reimburse all customers in Bands B, C, D, and E respectively that were billed above the allowed customer categories/tariff bands provided in the Order.
The statement reads: “NERC Fines AEDC ₦200 Million for Violation of the New Tariff Order, Directs Customer Refunds
The Nigerian Electricity Regulatory Commission has taken enforcement action against the Abuja Electricity Distribution Plc for non-compliance with the Supplementary Order to the April 2024 Multi-Year Tariff Order 2024 for AEDC. AEDC has been fined ₦200,000,000 (Two Hundred Million Naira) for failure to comply with the prescribed customer band classifications for the tariff billing.
This decision follows a detailed review and customer feedback, which revealed that AEDC had applied the new tariff to all customer bands, contrary to the Order, which was designed to ensure fair billing practices.
AEDC is therefore mandated to:
“Reimburse all customers in Bands B, C, D, and E respectively that were billed above the allowed customer categories/tariff bands provided in the Order.
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“Reimburse through the provision of the balance of customer tokens that the affected customers would be entitled to receive at the applicable rates and all token reimbursements shall be issued to the affected customers by 11 April 2024.
“Pay the sum of ₦200,000,000.00 (Two Hundred Million Naira) as a fine for the flagrant breach of the Commission’s Order.
“File evidence of compliance with the directives in a & c with the Commission by 12 April 2024.
“The action by the Commission underscores its commitment to protecting consumer rights and ensuring equitable practices within Nigeria’s electricity sector.”
