NERC Orders DisCos to Refund Overcharged Customers by April 11

The Nigerian Electricity Regulatory Commission (NERC) has instructed electricity distribution companies (DisCos) to reimburse all overcharged Band B customers by April 11. This directive follows the implementation of the April 2024 supplementary Multi-Year Tariff Order, as announced on Saturday.

Customers not on Band A have expressed grievances over the new tariff, which requires them to pay N225 per kilowatt-hour (KWh) for electricity consumption. Previously, the Federal Government declared it would discontinue subsidizing electricity for Band A customers, leaving others to pay the old rates.

However, amidst DisCos updating their payment systems, some Band B, C, D, and E customers reported being billed at the N225/KWh rate instead of the previous tariff.

Consequently, NERC has mandated all DisCos to reimburse affected customers promptly. The commission outlined specific actions for DisCos to undertake:

1. Maintain only the newly approved Band A feeders listed in the April 2024 supplementary orders for vending to prepaid customers and billing for postpaid customers.
2. Publish on their websites the schedule of approved Band A feeders affected by the rate review.
3. Establish a portal on their websites by April 10, 2024, allowing customers to check their current bands by entering their meter or account numbers.
4. Refund all customers wrongly billed at the new rate through energy tokens no later than Thursday, April 11, 2024, and provide evidence of compliance by April 12, 2024.

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NERC emphasized its commitment to monitoring compliance with the directives and pledged ongoing support to stakeholders as necessary.

The increase in electricity tariffs and the classification of some customers as Band A, promising 20-hour power supply, have faced continued opposition from Nigerians.

The refund directive from NERC seeks to address the concerns raised by affected customers and ensure equitable billing practices across the board. DisCos are expected to act swiftly to comply with the commission’s instructions, facilitating relief for overcharged customers and fostering trust in the electricity billing system.