The Minister of Power, Mr. Adebayo Adelabu has disclosed that Abuja Electricity Distribution Company (AEDC) has been fined N200 million for failing to comply with the prescribed customer band classifications for the increased tariff billing for Band A electricity customers classified as receiving no less than 20 hours electricity supply.
The Minister spoke at the Ministerial Press Briefing Coordinated by the Minister of Information and National Orientation, Mr. Mohammed Idris Malagi, at the Radio House, Abuja.
This was as the Nigerian Electricity Regulatory Commission (NERC) in a statement on Friday explained further that AEDC was fined for non-compliance with the supplementary order to the April Multi-Year Tariff Order 2024 for the company.
Both the Minister NERC said that AEDC will pay the fine for the flagrant breach of the commission’s order.
The Minister collaborated by NERC said that the decision followed a detailed review and customer feedback, explaining that AEDC had applied the new tariff unilaterally across all customer bands, contrary to the order designed to ensure fair billing practices that restricted the new billing to customers on Band A.
”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,” NERC stated.
The commission also directed the AEDC to file evidence of compliance with the directives in a and c with the commission by April 12.
The NERC management said its action underscores its commitment to protecting consumer rights and ensuring equitable practices within Nigeria’s electricity sector.
Meanwhile, on Thursday, AEDC apologised for the wrong charges faced by some Band A customers who tried to recharge their meters following the new tariff regime.
The Minister said excuses offered by NERC that it was a mistake to have carried out the general action as untenable, as they have options they could have embarked on instead of doing what they did.
He explained that the fine was possible because of the new Electricity Act which empowers NERC to fine erring distribution companies.
He assured Nigerians that government did not approve the tariff Band for Band A to punish anybody but to reduce the subsidy hitherto enjoyed by people on that Band who he said constitute only 15% of electricity numbers nationwide, but who are capable of paying the new price.
He pledged the commitment of the President Bola Tinubu’s administration to improving on yhe welfare of Nigerians through the removal of snags that had impaired development in the country.
