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NERC fines AEDC ₦200M for violation of new tariff order, directs customer refunds

April 5, 2024
in Nigeria News
NERC fines AEDC ₦200M for violation of new tariff order, directs customer refunds
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The Nigerian Electricity Regulatory Commission (NERC) has initiated enforcement action against Abuja Electricity Distribution Plc (AEDC) for failing to comply with the Supplementary Order to the April 2024 Multi-Year Tariff Order 2024 for AEDC.

The NERC in a statement on Friday signed by its management stated that AEDC was fined ₦200,000,000 (Two Hundred Million Naira) for failing to comply with customer band classifications for tariff invoicing.

The statement adds that this judgment was made after a thorough assessment and customer input revealed that AEDC had applied the increased pricing to all customer bands, which was contrary to the Order’s requirements for equitable billing procedures.

AEDC is therefore mandated to:

a. Reimburse all customers in Bands B, C, D and E respectively that were billed above the allowed customer categories/tariff bands provided in the Order.

b. Reimburse through the provision of the balance of customer tokens that the affected customers would be entitled to receive at the applicable rates and all token reimbursements shall be issued to the affected customers by 11 April 2024.

c. Pay the sum of ₦200,000,000.00 (Two Hundred Million Naira) as a fine for the flagrant breach of the Commission’s Order.

d. File evidence of compliance with the directives in a & c with the Commission by 12 April 2024.

The NERC said the action by the Commission underscores its commitment to protecting consumer rights and ensuring equitable practices within Nigeria’s electricity sector.

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