NERC Orders DisCos to Refund Overbilled Band B Customers

NERC Orders DisCos to Refund Overbilled Band B Customers
NERC Orders DisCos to Refund Overbilled Band B Customers

The Nigerian Electricity Regulatory Commission has issued a directive to power distribution companies to refund overbilled Band B customers by April 11, following the implementation of the April 2024 supplementary Multi-Year Tariff Order. This move comes in response to complaints from customers not on Band A, who are now facing increased electricity charges of N225/KWh.

In a recent development, the Federal Government announced that it would no longer subsidize electricity for Band A customers, while others would continue to pay the previous rates. However, as distribution companies updated their payment systems, some customers on Band B, C, D, and E were mistakenly charged the higher tariff of N225/KWh.

To address this issue, the NERC has instructed all electricity distribution companies to refund affected customers promptly. They have mandated that only the newly approved Band A feeders listed in the April 2024 supplementary orders should be maintained for billing purposes. Additionally, DisCos are required to publish the schedule of approved Band A feeders affected by the rate review on their websites.

Furthermore, all distribution companies must establish a portal on their websites by April 10, 2024, allowing customers to check their current bands by entering their meter or account numbers. Customers who were incorrectly billed at the new rate must be refunded through energy tokens by April 11, 2024, with evidence of compliance submitted to the commission by April 12, 2024.

The NERC has assured that they will monitor compliance with these directives and provide support to stakeholders as needed. Despite these efforts, many Nigerians are expressing dissatisfaction with the electricity tariff hike and the classification of certain customers as Band A, which guarantees 20-hour power supply.

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