Connect with us

News

Estimated Bills: NERC Fines BEDC, Others, Deducts N10.5bn From Discos Revenue

Published

on

The Nigerian Electricity Regulatory Commission, on Friday, declared that it would deduct N10,505,286,072 from the annual allowed revenues of the 11 power distribution companies during the next tariff review as part of sanctions over their non-compliance with the capping of estimated bills for unmetered customers.

NERC disclosed this in a notice obtained in Abuja, stressing that the billing of unmetered customers in their various franchise areas for 2023 revealed non-compliance with the monthly energy caps issued by the commission.

Advertisement

It said, “The public may recall that in 2020, the commission issued the order on Capping of Estimated Bills (Order No: NERC/197/2020) and subsequently issued monthly energy caps which aimed to align the estimated bills for unmetered customers with the measured consumption of metered customers on the same supply feeder.

“A review of the electricity distribution companies’ billing of unmetered customers for 2023 has revealed non-compliance with the monthly energy caps issued by the commission.”

In response to this and in a bid to safeguard unmetered customers from arbitrary billing by Discos, the commission stated that pursuant to Section 34(1)(d) of the Electricity Act 2023, it had issued the order on Non-Compliance with Capping of Estimated Bills (Order No: NERC/2024/004-01 4).

Advertisement

READ ALSO: CHEATERS: How DisCos Over-bill Customers By N105bn In 9 Months

It said the order stipulates the following: “Credit adjustment to customers: Discos are to issue credit adjustments to all over-billed unmetered customers for the period January to September 2023 by the March 2024 billing cycle.

“Public notice: Discos have been directed to publish the list of credit adjustment beneficiaries in two national dailies and on their website not later than March 31, 2024.

Advertisement

“Regulatory sanctions: The commission shall deduct a sum of N10,505,286,072 from the annual allowed revenues of the 11 Discos during the next tariff review, to deter future non-compliance with the energy caps approved by the commission.”

Electricity consumers nationwide have continued to lodge complaints against excessive estimated bills by power distribution companies in Nigeria.

For instance, it was reported on December 31, 2023, that power consumers lodged a total of 333,947 complaints bordering on metering, billing, and service interruption to their various distribution companies within three months.

Advertisement

READ ALSO: Biden Hosts Jordan King To Discuss Gaza Monday

According to the report, this was disclosed in the 2023 third-quarter report of NERC, stating that the complaints were lodged in July, August, and September 2023.

The report stated that the customer complaints in the third quarter were higher than what was recorded in the preceding quarter by 8,049 cases.

Advertisement

It quoted the NERC report as saying that “the total number of complaints received across all Discos (distribution companies) in 2023/Q3 was 333,947; Ibadan Disco received the highest number of complaints (59,901), representing 17.93 per cent of the total complaints received. Abuja Disco received the least number of complaints (1,919), representing 0.57 per cent of the total complaints received”

Meanwhile, the commission, on Friday, reaffirmed its commitment to regulatory compliance and consumer protection within the Nigerian Electricity Supply Industry.

The power sector regulator can impose various sanctions on power distribution companies for violating regulations or failing to meet performance standards.

Advertisement

These sanctions aim to deter non-compliance and improve service delivery and there are various types of sanctions imposed on defaulting power firms in Nigeria.

READ ALSO: FIFA Set To Introduce Blue Card In Football

The regulator imposes financial penalties on power firms as fines varying in amount based on the severity of the offence. Abuja Disco, for instance, was recently ordered to refund overbilled customers and fined for violating billing regulations.

Advertisement

Benin and Port Harcourt Discos were also fined by the regulator for failing to comply with customer complaint rulings.

On Performance Improvement Plans, the commission undertakes some measures to address specific issues, such as metering, network investment, or service quality.

It also enforces licence suspension/revocation, where in extreme cases, NERC can suspend or revoke Disco’s license, though this is rare.

Advertisement

It should be noted that sanctions are just one aspect of NERC’s regulatory efforts. They also issue regulations, conduct investigations, and engage in stakeholder consultations.

However, the effectiveness of sanctions is debatable, with some arguing that these sanctions have not significantly improved service delivery.

Many power users under the estimated electricity bill category, have repeatedly complained of being over-billed by Discos, as they often accused NERC of not enforcing adequate sanctions on the power distributors.
PUNCH

Advertisement

Advertisement
Comments

News

Sanwo-Olu makes U-turn, Unblocks Lawyer Who Sued Him Over Blocking On X

Published

on

Lagos State Governor, Babajide Sanwo-Olu, has unblocked human rights lawyer, Festus Ogun, on X after a meeting with him at Lagos House, Marina, on Friday.

The lawyer, who had accused the governor of rights violations, announced the development in a post on his X account on Saturday.

Advertisement

According to him, Sanwo-Olu personally invited him for a brief meeting to address his complaints.

Lagos Governor Babajide Sanwo-Olu has unblocked me on X (Twitter). I met briefly with him yesterday at Lagos House Marina, on his invitation, to amicably resolve my complaint of human rights violations. We will continue to hold authorities accountable, regardless. Aluta continua!” Ogun wrote.

READ ALSO:Lawyer Sues Sanwo-Olu For Blocking Him On X

Advertisement

Tribune Online reports that Ogun had earlier filed a suit against Sanwo-Olu at a Federal High Court in Lagos, accusing him of violating his fundamental rights by blocking him on his verified X account.

In the suit marked FHC/L/CS/1739/25, which he shared on Facebook, the lawyer claimed the governor blocked him over his 2021 “constructive criticisms” and “demand for accountability” on the October 2020 #EndSARS killings.

In 2021, I noticed that the Governor blocked me on his official X handle @jidesanwoolu owing to my constructive criticisms of his policies and demand for accountability in respect of the October 2020 #EndSARS Massacre.”

Advertisement

READ ALSO:‘Court Of Corruption’ — Obasanjo Knocks INEC Chairman, Judiciary In New Book

Ogun said the action has prevented him from accessing vital government updates and information.

“Blocking me on X has prevented me from accessing public updates and receiving information about policies and governance in Lagos, which constitutes a violation of my right to receive information without interference,” he said.

Advertisement

In his originating summons, he asked the court to declare the move unconstitutional, arbitrary, and discriminatory.

 

Advertisement
Continue Reading

News

Tragedy Deepens As Prime Suspect in Taraba Student’s Death Found Dead

Published

on

The investigation into the death of Comfort Jimtop, a 100-level Mass Communication student at Taraba State University, has taken a dramatic turn following the discovery of the lifeless body of Emmanuel Kefas, the prime suspect in the case.

Kefas’s body was discovered on Friday in the Tudiri community, Ardo-Kola Local Government Area, under unclear circumstances, intensifying public concern and adding a tragic dimension to a case that has already gripped the university community and residents across Taraba State.

Advertisement

Confirming the development on Saturday, the spokesperson for the Taraba State Police Command, James Lashen, said the police received a report from the village head of Tudiri about the discovery.

READ ALSO:Army Kills Notorious Bandit, Babangida, In Kogi

A lifeless body was found in Tudiri, and a Tecno Android phone was recovered beside it,” Lashen stated.

Advertisement

Upon charging the phone, investigators found a photograph showing the deceased with the late Comfort Jimtop, suggesting they were in a romantic relationship.”

Lashen added that the body has been taken to the Federal Medical Centre (FMC) in Jalingo for autopsy. At the same time, efforts are ongoing to officially identify the remains through the suspect’s family.

READ ALSO:Four Feared Killed As Gunmen Attack Burial Ceremony In Anambra

Advertisement

Police have yet to determine whether Kefas’s death was the result of suicide, homicide, or an accident. Investigations into both deaths are continuing.

Comfort Jimtop’s mysterious death had earlier sparked outrage on campus and across the state, with students and rights groups demanding justice. Kefas was named a prime suspect in the case, which remains open.

This latest development has left many unanswered questions and deepened the grief surrounding the case.

Advertisement

Students, residents, and civil society groups are closely monitoring the situation, calling on authorities to ensure a thorough investigation and bring clarity to the tragic chain of events.

Advertisement
Continue Reading

News

Ossiomo, Chinese Impasse: This Is Our Story — Management

Published

on

The management of Ossiomo Power Plant has cleared the air on the dispute between its Chinese partners and the circumstances surrounding the shutting down of the power plant early this month.

Representative of Ossiomo management, Engineer Festus Evbuomwan, during an interactive session with customers on the impasse between the two partners, said contrary to the rumour making the rounds, the management of Ossiomo Power Plant had paid over ₦2bn to its Chinese partner — Jiangsu Communication Clean Energy Technology (CCETC) — since the power plant started operation.

Advertisement

Recall that representative of CCETC who identified himself as Mr. ‘W’ had, during a telephone phone interview two weeks ago, claimed that “instruction to shutdown was because we lost lots of money and did not get any return on investment,” adding that “all the $20m investment was done by us including the distribution lines.”

But Evbuomwan during the interactive session, said the management was not aware of the $20m investment the Chinese partner claimed, just as he disclosed that “when they generate power, we sell and pay them.”

READ ALSO:Edo Govt Denies Shares As Ownership Tussle Rocks Ossiomo Power

Advertisement

He disclosed that after shutting down the power plant, the Chinese partners came up with a request of ₦185m to be paid to two Chinese not known to the management, stressing that this was declined.

According to him, the Chinese partner, having seen how lucrative the business is, “went to some quarters and raised some issues probably thinking they can manoeuvre us with the help of some big persons, so that they can use their machines to generate power and sideline us but this is not possible.”

The Chinese partners also claimed that they borrowed $20m from their native land to invest, we are not aware of such investment, and we do not know where the money was invested up till now.

Advertisement

“They have been also saying they have not been receiving anything, but I want to tell you unequivocally that first, the partners run a joint account where their investment is going into. More so, The Chinese partners have received over ₦2bn so far for the power they generate with their machines. When they generate the power, we sell and pay them.”

READ ALSO: Five Years After, Edo Govt Reconnects To BEDC As Ossiomo Shut Down

Engr. Evbuomwan, while apologising to customers for the power outage caused by the dispute between the two partners, said Ossiomo had started power generation though not in full capacity, assuring that power generation would be fully restored soon.

Advertisement

“We have purchased turbines, and one have started working. They are working on the second one, so, by the time our five turbines start working we will be in full capacity. Even with that, those connected to the government may not be reached immediately. This is because the government bought the poles and contracted the wiring, and we cannot force the government to do our bid. Also, we are making efforts to site 33kva transformer along Airport Road and Lagos Road as soon as possible, so that our customers there will get power.”

He said the Edo State government does not have a stake in the company, just as he appealed to the “government to let us supply power to customers in through their Lines. I want to emphasise that Ossiomo is not completely shut down.”

He further urged the “government to encourage the Nigerian citizens to invest and not to work against local investors.”

Advertisement

Continue Reading

Trending