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NERC fines AEDC N200m for ‘mistakenly’ overcharging Band A customers

The Nigerian Electricity Regulatory Commission (NERC) today fined the Abuja Electricity Distribution Company (AEDC) N200 million for failure to comply with the prescribed customer band classifications for the tariff billing.

NERC in a statement explained that AEDC was fined for non-compliance with the supplementary order to the April Multi-Year Tariff Order (MYTO) 2024 for the company.

AEDC will therefore pay the N200 million as a fine for the flagrant breach of the order, it said, adding that this followed a detailed review and customer feedback, revealing that AEDC had applied the new tariff to all customer bands, contrary to the order designed to ensure fair billing practices.

The statement reads in part: “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.

“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 April 11, 2024.”

The Commission further directed the AEDC to file in evidence of compliance with the directives in A and C by April 12.

NERC reiterated that its action underscores its commitment to protecting consumer rights and ensuring equitable practices within Nigeria’s electricity sector.

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.

AEDC apology

Meanwhile, AEDC yesterday apologized for the billing error for wrongly charging some Band A customers, who tried to recharge their meters following the new tariff regime.

In a notice to its customers in Abuja, the DisCo

said: “This is to inform customers across the AEDC franchise that we are aware of the wrong charges faced by some Band A customers who tried to recharge their meters following the new tariff regime.

“This is due to a system glitch caused by the reclassification of some Band A customers who have now been downgraded to B due to the number of hours of electricity supply enjoyed over the past few weeks.

“These erstwhile Band A customers who vended were charged the new tariff of N225 per kilowatt hour. Our team is working to identify the customers affected, and all excess charges will be refunded,” it said.

Some Band A customers are being at the old rate, but will be able to recharge their meters at the new rate of N225, ensuring they enjoy a minimum supply of 20 hours daily once the problem is resolved, the company assured.

“We apologise for any inconvenience caused to our customers during this change.

“We remain committed to improving the power supply to all categories of customers, and we crave your understanding and support as we do this,” AEDC said. 

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