Would you like to receive notifications on latest updates of the following headlines?

NERC Fines DisCos N628m for energy cap violations

POSTED ON April 11, 2025 •   Breaking News      BY Abiodun Saheed Omodara
Nigerian Electricity Regulatory Commission (NERC)

The Nigerian Electricity Regulatory Commission (NERC) has levied a fine of N628,031,583.94 on eight electricity distribution companies (DisCos) for not adhering to the monthly energy limits during the third quarter of 2024. 

In a statement released on Thursday, the commission identified the sanctioned companies as Abuja, Eko, Enugu, Ikeja, Jos, Kaduna, Kano, and Yola. These companies were found to be in violation of the commission’s 2020 Order regarding the Capping of Estimated Bills (Order No: NERC/197/2020), which intended to ensure that estimated billing for unmetered customers aligned with the actual consumption of metered customers sharing the same supply feeder.

Upon reviewing billing data from July to September 2024, NERC found that the affected DisCos had overcharged unmetered customers and had not complied with the designated energy limits.

As a result, the authority imposed a fine of N628,031,583.94, which accounts for five percent of the total gross overbilling during the assessment period.

“The non-compliant DisCos are required to pay fines totaling six hundred and twenty-eight million, thirty-one thousand, five hundred and eighty-three naira and ninety-four kobo (N628,031,583.94), equivalent to five percent of the total Naira value of the gross overbilling for the period assessed,” the statement indicated.

Furthermore, besides the fine, NERC has instructed the DisCos to provide credit adjustments to all affected customers, which must be completed by May 15, 2025, in line with the end of the April 2025 billing cycle. NERC reaffirmed its dedication to regulatory compliance and consumer protection in the Nigerian Electricity Supply Industry.

Additionally, the Enugu State Electricity Commission has granted a 5MW power generation license to Tempo Power Solutions Limited to establish a gas-powered plant, aiming to enhance electricity supply within the state.

This action increases the total power generation licenses issued by EERC to 15MW since regulatory oversight transitioned from NERC to EERC on October 22, 2024.

During the license issuance in Enugu yesterday, EERC’s Chairman and CEO, Chijioke Okonkwo, remarked that this achievement showcases the growing confidence from private sector participants and investors in the electricity sector and the conducive environment fostered for the electricity business to flourish.

 

He stated: “Tempo Power quickly capitalized on the opportunity presented by the favorable investment climate in Enugu State, engaged an off-taker, and successfully completed the licensing application process. Their initiative serves as a model of proactive engagement and strategic partnerships, and the deployment of this 5MW power facility is a collective triumph for us all. We are confident that as the market expands, Tempo Power will continue to enhance its capacity.”

In his comments, Collins Kalabare, the Executive Director of Tempo Power, praised Governor Peter Mbah for leading the way in what states can do to address Nigeria’s energy issues and commended EERC for maintaining a professional and transparent process, allowing investors to navigate the system without needing personal connections for efficient outcomes.

READ ALSO
Tinubu Launches National Mechanised Farming Programme to Tackle Food Insecurity
BY Abiodun Saheed Omodara June 23, 2025 0

In a bid to combat food insecurity and encourage youth participation in farming, President Bola Tinu...

READ ALSO
Oil Prices Surge Amid U.S. Airstrikes on Iran's Nuclear Sites
BY Abiodun Saheed Omodara June 23, 2025 0

Oil prices rose on Monday while the dollar gained strength following the U.S. airstrikes on Iran's n...

READ ALSO
FG Coordinates Evacuation Plans for Citizens in Iran-  Minister
BY Abiodun Saheed Omodara June 22, 2025 0

ABUJA, Nigeria - The Minister of Foreign Affairs, Ambassador Yusuf Tuggar, has refuted false narrati...

READ ALSO
Governors, FG Unite to Tackle Food Security Challenges
BY Abiodun Saheed Omodara June 20, 2025 0

The 36 state governors have come together to collaborate with the Federal Government on harmonizing...

READ ALSO
Tinubu to Launch Multiple Development Projects Today in Kaduna
BY Abiodun Saheed Omodara June 19, 2025 0

KADUNA, Nigeria - President Bola Tinubu is anticipated to arrive in Kaduna State today for the inaug...

READ ALSO
ECOWAS Calls for Unified Action Against Plastic Pollution at World Environment Day
BY Abiodun Saheed Omodara June 18, 2025 0

The Economic Community of West African States (ECOWAS) is calling for a unified regional effort from...

READ ALSO
Trump Proposes Visa Ban on Nigeria Amid Corruption Concerns
BY Abiodun Saheed Omodara June 15, 2025 0

The administration of U.S. President Donald Trump has initiated plans to impose a general visa ban o...

READ ALSO
Nigeria's Crude Oil Prices Surge to $80 Amid Rising Tensions Between Israel and Iran
BY Abiodun Saheed Omodara June 14, 2025 0

Amid the increasing tensions between Israel and Iran, Nigeria's crude oil prices surged to nearly $8...

OUR CHANNELS:

French Police Arrest 12 over Alleged Drugging of Women at Music Festival
BY Abiodun Saheed Omodara June 24, 2025 0

French police have arrested 12 individuals suspected of drugging female festivalgoers during the ann...


NATO Warns Iran Against Nuclear Weapon Development Amid Rising Tensions
BY Abiodun Saheed Omodara June 24, 2025 0

In a renewed effort to curb escalating violence in the Middle East, the North Atlantic Treaty Organi...


Mertens Announces Retirement from Football, Cites Age and Fatigue
BY Abiodun Saheed Omodara June 24, 2025 0

Belgian football star Dries Mertens has officially announced his retirement from professional footba...


Qatar Closes Airspace After Iranian Strike on U.S. Base in Doha
BY Abiodun Saheed Omodara June 24, 2025 0

In a swift move to safeguard lives and property, the government of Qatar has closed its airspace fol...


Tinubu Launches National Mechanised Farming Programme to Tackle Food Insecurity
BY Abiodun Saheed Omodara June 24, 2025 0

In a bid to combat food insecurity and encourage youth participation in farming, President Bola Tinu...


NGX Opens Week Bullish, Gains N279bn Amid Renewed Investor Confidence
BY Abiodun Saheed Omodara June 24, 2025 0

The Nigerian Exchange Limited (NGX) commenced the trading week on a bullish trajectory, adding N279...


EFCC Urges Students to Shun Internet Fraud, Embrace Positive Online Ventures
BY Abiodun Saheed Omodara June 24, 2025 0

The Chairman of the Economic and Financial Crimes Commission (EFCC), Ola Olukoyede, has called on Ni...


Abia Govt Vows Crackdown After Cult Clash Leaves One Dead
BY Abiodun Saheed Omodara June 24, 2025 0

ABIA, Nigeria - A suspected cultist was shot dead while another was apprehended following a violent...


Tinubu Showoff Chicago Classmate Amid Lingering Certificate Forgery Controversy
BY Abiodun Saheed Omodara June 24, 2025 0

ABUJA, Nigeria - Amid ongoing public debate over his academic credentials, President Bola Tinubu on...


Oil Prices Surge Amid U.S. Airstrikes on Iran's Nuclear Sites
BY Abiodun Saheed Omodara June 24, 2025 0

Oil prices rose on Monday while the dollar gained strength following the U.S. airstrikes on Iran's n...


More Articles

Load more...

Menu