HomeUncategorizedFG Warns Discos Against Arbitrary Billing, Emphasizes Consumer Rights

FG Warns Discos Against Arbitrary Billing, Emphasizes Consumer Rights

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The Executive Vice Chairman/CEO of the Federal Competition and Consumer Protection Commission (FCCPC), Mr. Tunji Bello, has called on electricity distribution companies (Discos) to prioritize consumer rights, especially in metering processes.

Speaking at a meeting between key stakeholders in Nigeria’s electricity sector and the FCCPC in Abuja, Bello emphasized the need for transparency and fairness. “We are here today because consumers’ rights in metering must be a priority,” he said.

He condemned the growing issues of arbitrary billing and lack of transparency in the metering process. “These practices are unacceptable. We must ensure that consumers are treated fairly and that all practices adhere to the guidelines set by the Nigeria Electricity Regulatory Commission (NERC),” he added.

The meeting also addressed the ongoing concerns over metering issues, such as billing discrepancies and obsolete meters. Bello’s comments came amidst the phase-out of the Unistar prepaid meter model, which is set to begin on November 14, 2024. This transition has raised concerns about potential additional costs for consumers or the possibility of returning to estimated billing, which is against NERC regulations.

Bello criticized a customer complaint from Ikeja Electric, who wrote to the FCCPC stating that replacing their meter would cost about N1 million. The FCCPC chair stressed that Discos must bear the costs of replacing meters, especially those that are outdated or no longer in use, and that consumers should not be financially burdened.

“The regulations are clear: any transition must be done without burdening the consumer,” Bello said. “Consumers should not have to pay for meters that are obsolete or no longer functional.”

He also condemned the practice of placing consumers with faulty meters on estimated billing, calling it a violation of NERC’s rules. “Discos have no excuse for failing to follow proper procedures, including reimbursing for meter purchases and replacing faulty meters promptly,” he added. “We will take immediate corrective actions if the rules are ignored.”

The meeting provided a platform for stakeholders to express their views on the situation, with a shared commitment to ensuring fair practices in the electricity sector.

 

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