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AEDC to pay 200 million fine for over-billing customers

AEDC to pay 200 million fine for over-billing customers

Benita OrumabyBenita Oruma
2 years ago
in News
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The Nigerian Electricity Regulatory Commission (NERC) has slammed the Abuja Electricity Distribution Plc (AEDC) with a fine of ₦200 million for overbilling customers not originally classified in Bband A which is a violation of the supplementary order to the 2024 Multi-Year Tariff Order which was issued on April 3rd.

This was disclosed in a press release signed by the NERC management on Friday.

It was revealed that contrary to the order aimed at ensuring fair billing practices, AEDC applied the new tariff uniformly across all customer bands.

This misapplication of directive has caused undue charges for customers in Bands B to E and also called into question the trustworthiness of the distribution companies as regards compliance to fair operational standards.

Recall that NERC had recently announced a 300 per cent increase in electricity tariff for Band A customers with 20 hours of power supply, a decision which sparked serious concerns and widespread outrage among Nigerians.

As a show of commitment to protecting consumer rights and ensuring equitable practices within the electricity sector, NERC has mandated AEDC to reimburse all affected customers in Bands B, C, D, and E by providing balance tokens reflective of the rates they should have been charged.

Also, AEDC is required to Pay the sum of ₦200 million as a fine for the gross breach of the commission’s order.

In addition, NERC’s directive requires AEDC to file an evidence of compliance with the commission’s corrective measures by April 12, 2024.

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Benita Oruma

Benita Oruma

Benita Oruma is a lawyer in training, a 400 level student in the university of Ibadan. She is a content writer with interest in corporate affairs and the marketplace.

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