On Tuesday, the House of Representatives issued a directive to the Nigerian Electricity Regulatory Commission (NERC) to take action against distribution companies and put an end to the practice of estimated billing for electricity consumers nationwide.
The House also called on NERC to penalize DisCos for their inadequate power supply and explore means of providing compensation to individuals, communities, and private and public entities for their investments in the distribution network.
The House's Committee on Power, once constituted, is tasked with engaging with NERC and DisCos to address the challenges hampering efficient power distribution in the country.
The motion, put forth by Afuape Moruf, a representative from Abeokuta South Federal Constituency of Ogun State, emphasized the DisCos' failure to deliver satisfactory services to consumers, contrary to the Electricity Act, 2023.
Moruf expressed concern over the disconnection of consumers despite their payment for meters, cables, and transformers, urging for immediate improvements.
He said, “The Distribution Companies raked in a whopping N247.33 billion in the first quarter of 2023 as against N232.32 billion generated in the fourth quarter of 2022, representing a rise by 20.81 per cent compared to N204.74 billion generated first Quarter of 2022 (year-on-year consideration).
“Whereas electricity supply declined from 5,956 (Gwh) in the first quarter of 2022 to 5,852 (Gwh) first quarter of 2023 (year-on-year consideration), despite the increase in earnings; the distribution companies have demonstrated unfaithfulness toward the social contract with Nigerians, as enshrined and enhanced by the transitional effect of the Electric Power Reform Act, 2005 to the Electricity Act, 2023.
“NERC has watched helplessly while communities, individuals, and corporate organisations assumed the responsibilities of providing electricity transmission facilities (meters, cables and transformers) where they are either not available or repaired, where the same are faulty.
“Whereas, the commission can act within the ambit of its own created service charter that outlines consumer rights, obligations, expected service levels, and redresses applicable to them.
“While NERC watches the DisCos abdicate their responsibilities to communities, individuals, corporate bodies, and public institutions, no compensation mechanism has been evolved to ensure either an outright refund of these third-party investments in the distribution network".
