Electricity Customers Get Relief as LASERC Bans Recovery of Bills Older Than One Year
- The LASERC says electricity companies cannot recover unpaid bills that are more than 12 months old, except in special cases
- The commission said the rule is contained in the Lagos State Retail Electricity Supply Code and is intended to protect consumers from unlawful back-billing
- LASERC also reaffirmed that Lagos has no electricity subsidy policy and plans to scrap the current electricity tariff band classification
Legit.ng journalist Victor Enengedi has over a decade's experience covering energy, MSMEs, technology, banking and the economy.
The Lagos State Electricity Regulatory Commission (LASERC) has clarified that electricity distribution companies and other licensed operators in the state are prohibited from recovering unpaid electricity charges that are more than 12 months old, except under specific circumstances.
The commission made the clarification in a consumer awareness message shared on its official social media platforms, urging electricity users to understand their rights under the state's electricity regulatory framework.
Source: UGC
According to LASERC, the only exceptions to the 12-month limit apply where investigations establish cases of meter tampering, illegal electricity consumption, or deliberate obstruction of meter reading by customers.
"Electricity supply licensees cannot recover charges older than 12 months, except in cases of meter tampering, illegal use, and obstruction of meter reading," the commission stated.
Consumer Protection Against Back-Billing
LASERC explained that the restriction is backed by the Lagos State Retail Electricity Supply Code, specifically Paragraph 35(1) and 35(2), which limit the period within which electricity providers can recover outstanding charges.
The commission encouraged consumers to familiarise themselves with these provisions and other protections available under the state's electricity regulations.
The clarification comes amid persistent complaints from residents over back-billing practices, with many consumers alleging that they have been asked to settle electricity bills dating back several years.
The regulator's latest advisory is expected to provide relief to affected customers by making it clear that such historical charges cannot be enforced beyond the stipulated 12-month period unless they involve proven cases of electricity theft or related violations.
LASERC Takes Charge of Lagos Electricity Market
LASERC assumed responsibility for regulating the electricity market in Lagos following the transfer of regulatory authority from the Nigerian Electricity Regulatory Commission (NERC) under the Electricity Act 2023.
Since taking over oversight of the sector, the commission has unveiled several policy directions aimed at restructuring the state's electricity market.
One of its key positions is the rejection of electricity subsidies, arguing that operators must be allowed to recover the actual cost of providing power services.
Lagos Maintains No-Subsidy Electricity Policy
The Lagos State Commissioner for Energy and Mineral Resources, Abiodun Ogunleye, has reiterated that the state government remains committed to a cost-reflective electricity pricing system.
Source: UGC
According to him, Governor Babajide Sanwo-Olu has directed that electricity consumers in Lagos should pay the actual cost of power supply, maintaining that there is currently no subsidy regime in the state unless the governor decides otherwise.
LASERC has also announced plans to phase out the existing electricity tariff band classification, a move that could significantly reshape how electricity customers are billed across Lagos.
Source: Legit.ng
