Electricity consumers lament DisCos’ exploitation amid service failures

There is growing dissatisfaction among electricity consumers regarding the poor quality of services provided by the electricity distribution companies, writes DANIEL ADAJI

Electricity consumers are unhappy over what they describe as exploitation by electricity distribution companies in the country.

Issues such as delayed access to prepaid meters, requests for bribes, and illegal disconnections are among the major complaints raised by consumers.

A senior staff member of Abuja Electricity Distribution Company, speaking on the condition of anonymity, told The PUNCH that customer service delivery in Bwari Area Council was deplorable.
“I don’t know if it is because we are far from town, but the customer service here is not friendly at all. They extort customers at will,” the source said.

The source noted that some officials of AEDC often disregard proper verification procedures before installing meters.

According to the source, the Licensed Electrical Contractors Association of Nigeria is responsible for inspecting homes for the Meter Asset Provider reading, after which customer service is supposed to certify the type of meter to be installed within a week.
However, this process is often ignored, resulting in poor service and extortion.

Disconnection

The official further revealed that it was illegal to disconnect customers who have prepaid meters, yet some communities, including Kogo 1, Barangoni, and Tunduwada in the area council, were disconnected without notice.

When residents protested, the management called in the police to disperse them.

Our correspondent witnessed a customer at the AEDC office in Bwari lamenting delays in receiving a prepaid meter.

“I applied for a meter in March. I was asked to write a letter, but now they tell me my form cannot be traced,” he said.

Widespread discontent
The complaints are not limited to Abuja. Across Nigeria, residents have faced challenges with service delivery, including overbilling under estimated billing practices.

In a recent move, the Nigerian Electricity Regulatory Commission fined all 11 DisCos a total of N9.11bn for overbilling customers.

Residents of Samaru-Kataf Community in Kaduna State have expressed frustration over the persistent power outage in the area, which has severely affected economic activities.

A resident, La’ah Dauda, narrated, “The power supply in our community has not been stable. On August 31, 2024, the incomer cable to our transformer was vandalised, resulting in a power outage that has lasted for weeks.”

The community wrote to the Area Manager of Kaduna Electricity in Kafanchan on September 6, 2024, lodging their complaint, but the authorities were yet to restore power.

“We are tired of living in darkness. Our businesses are suffering, and our lives are being disrupted. We pay fixed electricity bills of 8,000 naira and above, yet we don’t have meters. It is unfair,” he said.

The community was worried that despite the power outage, their electricity bills would continue to accumulate.
“They will still bring us bills, and we will be forced to pay for services not rendered,” Dauda lamented.

The high cost of electricity bills is also a concern for the community, mostly comprised of farming families.

“The bills are exorbitant and unsustainable for us. We urge the authorities to intervene and provide relief,” he added.

They urged Kaduna Electricity Distribution Company to take immediate action to restore power to the community and address the issues of estimated billing.

“We demand a prompt response to our plight. We cannot continue to live in darkness while paying for services we don’t receive,” he added.

According to NERC’s September 2024 Supplementary Order of the Multi-Year Tariff Order, the Discos were fine for overbilling customers.

Abuja Disco was fined N1.69bn, followed by Eko and Ikeja Discos, each fined N1.41bn.
Other fines included Jos Disco (N1.33bn), Port Harcourt Disco (N1.16bn), Benin Disco (N804m), and Enugu Disco (N310m), while smaller fines were issued to Ibadan, Kaduna, Yola, and Kano Discos.

NERC stated that the fines follow a comprehensive investigation into the DisCos’ billing practices, particularly their non-compliance with previous directives aimed at capping estimated billing.

The fines were part of NERC’s efforts to ensure that DisCos improve their service delivery and adhere to service-based tariffs.

The regulator also mandated DisCos to publish explanations on their websites within 24 hours if they failed to provide service on Band A feeders for two consecutive days.

Allegations of extortion

In areas like Bwari, residents have voiced concerns about bribes paid to avoid disconnections.

A resident, who did not want his name in print, explained, “When AEDC officials come to disconnect us, we have to pay them at least N4,000 to reconnect the wires and cover their transport costs for the ladder.”
Responding to such allegations, AEDC’s Head of Marketing, Adefisayo Akinsanya, denied that the company installed fake meters and assured that all meters deployed were certified by the Nigerian Electricity Management Services Agency.

She urged customers to use official channels when acquiring meters and warned against attempts to manipulate them, which could result in penalties.

Metering programme

The company recently completed the National Mass Metering Programme, installing over 100,000 meters.

AEDC said it was working on a comprehensive metering plan aimed at ensuring all customers are properly metered.

According to Akinsanya, meter deployment is capital-intensive and crucial to revenue generation.

The Meter Asset Provider scheme, which allows customers to pay for meters in instalments through energy tokens over 10 years, is ongoing.
Customers can acquire meters through AEDC’s business districts.

However, residents of Bwari have voiced concerns over the abrupt shift of their service from Band B to Band A, leading to significantly higher electricity costs.

Under Band A, residents are now charged N1,000 for just four units of electricity.

Explaining the reason for the higher tariff, Adefisayo stated, “The adjustment was based on regulatory guidelines, which place customers receiving 20-24 hours of electricity daily in Band A. The Bwari feeder has been supplying an average of 20 hours per day since August 2024, leading to the reclassification.”

Despite AEDC’s assurances, many residents argued that the service remained inconsistent, with electricity often available for less than 10 hours a day.
“We are billed as if we are getting 20 hours of electricity, but we barely get 10 hours supply in some days,” said Chukwuma Okorie, a resident of Kubwa. “AEDC needs to fix the supply issues before increasing the rates.”

AEDC defence and customer options
AEDC defended the tariff increase, stating that it reflected current market realities and was necessary for maintaining the distribution network.

The company explained that the new charges would support infrastructure maintenance and upgrades to improve service delivery.

In response to concerns over meter delays, AEDC acknowledged that supply chain disruptions had caused a backlog but reassured customers that efforts were underway to resolve those issues.

“The company has also launched an automated metering process to track pending meter requests and hold providers accountable,” Adefisayo said.

On the issue of disconnections, AEDC urged customers to report extortion and emphasised that all payments, including penalties, must be made to official AEDC accounts.

Demand for quality service

AEDC reiterated its commitment to delivering top-tier service through the GIS Mapping project and the Power Outage Reporting Systems, which allows customers to report outages directly.
Akinsanya urged residents to use official grievance redress mechanisms, including AEDC’s helpline and social media platforms, to resolve complaints instead of resorting to protests.

Despite those assurances, residents like Amira Tayo, a mother of three, remained deeply concerned.

“I can’t even use my refrigerator anymore because N1,000 for four units is too much. How am I supposed to keep my food from spoiling?” she lamented.

The shift to Band A has raised widespread concern among residents, especially as Nigeria continues to grapple with rising inflation and economic challenges.

“Why are prices always increasing in this country?” asked Onuh Joshua. “We are already struggling with the high cost of living, and now this electricity hike is making things worse.”

AEDC, which serves Abuja and parts of Niger, Kogi, and Nasarawa States, insisted that the tariff adjustments were necessary to improve service delivery.

However, many residents argued that the cost of electricity was becoming unbearable.
Calls for legislative investigation

The Electricity Consumer Protection Advocacy Centre, a watchdog group focused on promoting quality service delivery, professionalism, and accountability in Nigeria’s power sector, has accused DisCos of reckless practices that were contributing to constant tariff hikes.

The group urged NERC to take responsibility and enforce regulations that protect consumers.

In an exclusive interview with our correspondent on the phone, the Executive Director of ECPAC, Chief Princewill Okorie, expressed frustration over NERC’s role in the ongoing tariff increases.

He stated, “NERC will always hide behind and make people blame the DisCos. If NERC does what they are supposed to do, it shouldn’t be like that.”

Okorie referred to a resolution by the House of Representatives Committee on Power, which had previously ruled against consumers being charged under Band A tariffs, yet the charges persist.

“The House Committee on Power resolved that consumers should not be charged on Band A after the public hearing they held. So why are they still collecting Band A? Does it mean that they don’t respect the law and authority of the legislature?” Okorie quizzed.
He called on NERC to explain why consumers were still being billed under Band A, despite legislative directives.

According to Okorie, the DisCos’ refusal to comply with this ruling undermines the authority of the National Assembly and demonstrates a disregard for consumer rights.

He suggested that NERC and other stakeholders must take immediate action to resolve the issue.

He also highlighted ongoing efforts by ECPAC to address consumer complaints, disclosing that the Public Complaints Commission, in collaboration with ECPAC, had recently organised a workshop on electricity consumer complaint handling for the Abuja Municipal Area Council and Bwari areas.

“The Public Complaints Commission, FCT, has initiated an idea of packaging an electricity consumers workshop for October 8, because the Consumer Protection Commission has the mandate of handling administrative and bureaucratic complaints,” Okorie noted.

However, he lamented the lack of awareness among consumers about their rights and the channels available to them to resolve complaints.

He explained that a meeting was held two weeks ago at the commission’s office in Wuse, Abuja, with government representatives and stakeholders, emphasising that consumer complaints, especially in the FCT, must not be ignored.
Okorie also raised concerns about the broader implications of consumer rights abuses, linking them to potential insecurity.

He warned that consumers who speak out against DisCos’ practices often face intimation from security agencies.

“If the consumers file out and complain, security agencies will be unleashed on them. What are the security agencies doing to ensure that distribution companies don’t flaunt the rule of the National Assembly?” he asked.

The ECPAC boss described the continuous collection of Band A tariffs as illegal and criminal, calling for investigations into the matter.

“This increase is a kind of illegal collection and amounts to a crime. It is a criminal collection. The regulator needs to act,” he stated.

Okorie called on the House of Representatives and the Federal Capital Territory Minister to launch independent investigations into the DisCos’ actions.

“The House of Representatives should launch investigations on this matter. The FCT minister should also investigate the matter as well. Let him set up an investigative panel to investigate the distribution companies,” he urged.
Non-adherence to guidelines

NERC emphasised that consumer complaints and investigations revealed DisCos’ non-adherence to regulatory guidelines on estimated billing.

In response, NERC issued directives for DisCos to improve its service delivery and ensure compliance with service-based tariffs.

The DisCos are required to continuously monitor their service levels, particularly concerning electricity supply to Band A feeders.

NERC stipulated that if DisCos failed to meet the committed service level for two consecutive days, it must publish an explanation by 10:00 a.m. the following day.

In addition to the fine, the Supplementary Order mandated the DisCos to procure at least 398MW of embedded generation capacity, with 50 per cent coming from renewable energy sources, by April 2025. This is intended to enhance electricity reliability within the DisCos franchise area.

Compensation for service failures
The order also included provisions for compensating customers for service failures, particularly those on Band A feeders.

It mandated DisCos to compensate affected customers in Band A feeders who receive less than the required 20 hours of electricity supply but more than 18 hours on average.