Abuja, Nigeria – September 13, 2024 – The Nigerian Electricity Regulatory Commission (NERC) has imposed a fine of N1.69 billion on Abuja Electricity Distribution Company (AEDC) for overbilling its customers.
The penalty was announced in a supplementary order issued by NERC on August 30, 2024. The order, which was published on NERC’s website, outlined the reasons for the fine and the steps AEDC must take to rectify its billing practices.
According to NERC, AEDC overcharged customers from January to September 2023. The fine is equivalent to 10% of the overbilled amount.
In addition to the fine, NERC also directed AEDC to improve its service delivery and comply with service-based tariffs. AEDC is required to ensure that its service levels meet the standards set by NERC and to procure additional electricity generation capacity to improve the reliability of supply within its franchise area.
The Supplementary Order also includes provisions for compensating customers for service failures. AEDC will be required to pay compensation to customers who experience supply interruptions.
This action by NERC is a significant step towards ensuring that electricity distribution companies in Nigeria are held accountable for their actions and that consumers are protected from unfair billing practices.
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