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Nigeria Electricity Theft Crackdown Begins

The Nigerian Electricity Regulatory Commission (NERC) has announced plans to collaborate with the Economic and Financial Crimes Commission (EFCC) to […]

Electricity theft: NERC to deploy advanced technology against offenders

The Nigerian Electricity Regulatory Commission (NERC) has announced plans to collaborate with the Economic and Financial Crimes Commission (EFCC) to tackle electricity theft and other illicit practices in the power sector. According to NERC Chairman Abdullahi Ramat, the partnership aims to apprehend offenders and put an end to meter bypass and electricity theft.

Ramat, who is awaiting Senate confirmation, said his administration will leverage technology to address the sector’s major challenges. He plans to develop an app that will integrate with the APIs of distribution companies (DISCOs) and provide real‑time visibility of payment channels and system operations. Available on both Android and iOS, the app is expected to enhance the commission’s monitoring and regulatory capabilities. In addition, NERC will deploy a whistleblowing tool that enables citizens to report cases of electricity theft, meter bypass, and illegal connections anonymously. The tool is modeled after the LURA app, a community‑policing software Ramat pioneered at the local‑government level.

The commission will work with the EFCC to enforce arrests, apply name‑and‑shame measures, and prosecute offenders, with penalties of up to three years’ imprisonment as provided by the Electricity Act 2023. The move is expected to curb electricity theft, reduce tariffs, and promote a more efficient power sector.

Ramat noted that challenges in the sector are significant, with almost 50 % of generated power lost, leaving efficiency at barely half capacity. He emphasized that ending electricity theft and vandalism is a collective responsibility, so honest customers should not bear the cost of thieves’ crimes. The chairman also highlighted the need for digitization, citing the mixed‑ownership structure as a major obstacle. He believes the commission can drive full digitization across the value chain through information‑technology deployment, optimizing operations, streamlining processes, and integrating payment and monitoring systems.

By embracing automation and e‑governance, Nigeria can stabilize the grid, enforce transparency, and reduce losses. Ramat cautioned that failure to adopt technology could lead to loss of tax revenue, regulatory control, and national sovereignty, undermining the country’s global competitiveness. He stressed that urgent action is needed to bridge the gap between the public and private sectors.

With the collaboration between NERC and EFCC, the power sector is poised for significant reforms, and the fight against electricity theft is expected to gain momentum.

Ifunanya

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