Federal government orders NERC to end estimated billing

Federal government orders NERC to end estimated billing

- The federal government has ordered the Nigerian Electricity Regularly Commission to enforce power distribution companies to provide meters to customers

- The government also ordered that NERC should eliminate estimated electricity bills in the power sector

- The directive became vital following the number of complaints coming from consumers on meters

The Nigerian Electricity Regularly Commission (NERC) has been ordered by the federal government on Monday, July 9, to enforce the contract mandating power distribution companies to provide meters to customers and eliminate estimated electricity bills in the power sector, The Punch reports.

Legit.ng gathered that the directive became vital following the number of complaints coming from power consumers on meters, which the Discos should supply, as well as concerns about estimated billings and mass disconnection, adding that these would not be allowed to continue.

Earlier Babatunde Fashola, the minister of power, works and housing, tackled the chairman of NERC, Prof James Momoh, on the number of Meter Asset Providers, who had been licensed by the commission, stressing that the regulator must be serious in its duty of ensuring that the Discos and MAPs provide meters.

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Fashola reading various sections of the Electric Power Sector Reform Act of 2005 in Abuja, tried to explain why it was high time that the government acted and put an end to the excesses of the power distributors.

He said: “Government must act and will do so. The Discos bought these power assets with their eyes opened, and they must compete to deliver or exit.

“It is not my intention, or that of the government, to take over the business of the Discos. On the contrary, it is the government’s desire to see the Discos thrive in a competitive environment. In the period when they are not yet ready, willing, or able, life must go on and we must find solutions and substitutes as we have seen in other sectors.”

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Fashola further said that it was necessary to direct NERC to step in to“ensure that the Discos improve on their distribution equipment and capacity to take up the available 2,000 megawatts in order to optimise the use of the electrical resource produced by the Gencos, and I direct NERC to immediately act in this regard.

“NERC should enforce the contract of the Discos to supply meters and act to ensure the urgent and speedy supply and installation of meters with a view to eliminating estimated billing and promote efficient industry and market structures.

“NERC should stop the Discos from threatening private entrepreneurs from entering the market to supply consumers, whom the Discos cannot supply, and to license such persons subject to terms and conditions in order to promote competition and private sector participation, and avoid a private monopoly of power."

Legit.ng previously reported that members of the House of Representatives met on Wednesday, June 27, to deliberate on and condemned the excessive and estimated billing by electricity distribution companies in the country while accusing Discos of fraud.

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The Reps also accused the Nigerian Electricity Regulatory Commission, the regulator of the power sector, of colluding with the Discos or being helpless while Nigerians were being ripped off.

The session, led by a member of the House representing Osun state, Ajibola Famurewa, was focused on the “need to curb excessive electricity charges being levied on the consumers by Discos.”

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Source: Legit.ng

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