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Estimated billing: Electricity consumer groups seek stiff sanctions against 7 erring discos

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Two electricity consumer groups, on Wednesday, called for stiff sanctions against seven electricity distribution companies (DisCos) for failing to implement the order on capping estimated billing of their customers.

The groups, the Energy Consumer Rights and Responsibilities Initiative (ECRRI) and All Electricity Consumers Protection Forum (AECPF) made the calls in separate interviews with the News Agency of Nigeria (NAN) in Lagos.

NAN reports that the Nigerian Electricity Regulatory Commission (NERC) had threatened to sanction the DisCos over their failure to comply with the Order 197/2020 on capping of unmetered R2 and C1 electricity customers.

R2 and C1 are residential and commercial categories of electricity consumers respectively.

The affected DisCos – Benin, Enugu, Eko, Ikeja, Kano, Kaduna and Port Harcourt – were given 14 days, beginning from June 4, to explain why the commission should not sanction them over their alleged non-compliance.

Reacting to the development, Mr Sural Fadairo, National President, ECRRI, said NERC must step up its regulatory duties by ensuring full compliance with its orders and directives.

“The threat to sanction the erring DisCos is a welcome development.

“We believe that the industry will not make much progress until the DisCos start complying fully with NERC’s directives.

“NERC should be able to wield the big stick on the DisCos from time to time because its duty is to ensure compliance with policies that are beneficial to all stakeholders in the electricity sector,’’ Fadairo said.

He noted that sanctioning the DisCos would also spur them to accelerate metering of customers in their areas of coverage.

“Majority of electricity consumers in Nigeria are still on estimated billing system and are being exploited by the DisCos with crazy bills.

“That is why NERC tried to intervene in the matter by placing a cap on how much can be issued to the affected customers until such a time that their meters are installed.

“These DisCos, however, failed to comply with the order and have continued to issue exorbitant estimated bills to their customers.’’

Also, Mr Adeola Samuel-Ilori, National Coordinator, AECPF, said NERC had on Feb. 20 abolished the era of the estimated methodology of billing by DisCos and replaced it with capping method.

“When the capping order was released with an express directive in paragraph A of the order that estimated method has been repealed and replaced with capping method, we thought the discos can’t circumvent the implementation.

“However, by the time the implementation took place in March bill, our group were inundated with calls and messages to the effect that the bill received for that month was not only astronomical but beyond capping and former estimated bill previously received put together.

“We noticed that the same thing happened in April and we had to petition the DisCos.

“The response we got was that they are investigating and will come out with a position.

“We see this directive of notice of intention to sanction erring discos as a welcome development and look forward to a regulatory body that can bark and bite this time,’’ Samuel-Ilori said.

He, therefore, urged NERC to be more proactive in attending to consumer complaints in order to fulfil its statutory obligation of being fair and balanced in dealing with consumers and distribution companies. (NAN)

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Shehu Sani Criticizes World Bank Over Nigeria’s Economic Outlook

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Former Kaduna Central Senator Shehu Sani has criticized the World Bank for worsening Nigeria’s economic difficulties. In a post shared on X, Sani accused the institution of projecting that Nigeria’s hardship would extend for another 15 years before the country could reach a better economic future. He questioned how many Nigerians would be left to enjoy that future, and how many African nations the World Bank has successfully helped to prosperity.

Sani’s remarks follow the World Bank’s latest *Africa’s Pulse* report, which forecasts that the Nigerian Naira will be among the worst-performing currencies in Sub-Saharan Africa by August 2024. The report placed the Naira’s decline alongside that of the Ethiopian Birr and South Sudanese Pound.

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HIG: Building Trust and Driving Innovation in Nigeria’s Insurance Market

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Heirs Insurance Group (HIG) recently announced impressive financial results for the 2023 fiscal year, marking significant growth across all key metrics. The Group’s Gross Written Premium (GWP) surged by 59.3%, from N19.9 billion in 2022 to N31.7 billion in 2023. This remarkable performance underscores HIG’s resilience and operational efficiency, further solidifying its position as one of Nigeria’s fastest-growing insurance firms.

Heirs General Insurance (HGI) saw a 77% increase in GWP, reaching N12 billion in 2023. HGI’s profit before tax (PBT) also rose by 203%, reflecting the company’s effective cost management. Similarly, Heirs Life Assurance (HLA) reported a 71% GWP increase and a staggering 395% rise in PBT. Both companies have demonstrated a strong commitment to customer satisfaction, disbursing billions in claims.

Beyond financial success, HIG actively engages in corporate social responsibility (CSR) projects, contributing over N100 million to education, community development, and financial literacy. With plans for future expansion and innovation, HIG is poised to remain a key player in Nigeria’s evolving insurance market.

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Wike Urges Nigerians to Pay Taxes for Improved Social Services

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Federal Capital Territory (FCT) Minister, Nyesom Wike, has called on Nigerians to fulfill their tax obligations, emphasizing that government revenue is essential for delivering social services. Wike made this appeal during the inaugural Abuja Business and Investment Summit, held in Abuja on Wednesday.

Speaking on the summit’s theme, “Optimising Investment Through Partnerships,” Wike stressed the importance of collaboration to generate investment opportunities. He dismissed the misconception that the government does not need revenue, explaining that taxes are crucial for funding public services.

Wike reiterated that both investors and the government must benefit from such partnerships, ensuring that both parties “go home smiling” through a fair exchange of services and taxes.

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