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Electricity firms ripping off consumers – Senate


The Senate on Tuesday,` hit hard on Electricity Distribution Companies in Nigeria accusing them of alleged conspiracy to rip off innocent Nigerians despite epileptic supplies to their homes and business premises.

The senators vent their anger during their contributions to a debate on a motion sponsored by a former Governor of Ebonyi State who is currently representing Ebonyi North Senatorial District in the upper chamber, Senator Sam Egwu.


The bill was titled, ‘Unfair Trade Practice of Electricity Distribution Companies in Nigeria’.

They urged the National Electricity Regulatory Commission to inquire into numerous complaints before it by consumers, in line with the provisions of Section 74 (1)(b) of the Power Reform Act.

The senate also asked NERC to immediately enforce the abolishment of fixed charges being collected from electricity consumers across the nation.

The upper chamber also directed DISCOs to discontinue the practice of compulsory bulk metering of villages and communities in the rural areas as a consumer should have the right to be part of bulk metering scheme or not.

The senators also unanimously directed DISCOs to discontinue the practice of making consumers pay for meters, poles and transformers which by law, are properties of the DISCOs.

They, however, said that where the consumers had purchased those items, they should give notice of the purchase to the DISCOs, and should be entitled to recover their expenses from subsequent consumption of electricity.

Apart from this, the senate directed NERC in line with the provisions of Section 32 (1) of its Act, should be reporting its activities periodically to the senate.

In his lead debate, Egwu had noted that NERC was established to among others, license and regulate persons engaged in the generation, transmission, system operation distribution and trading of electricity.

According to him, the same NERC was also empowered by Section 32(1) (d) of its enabling legal regime to ensure that the prices charged by licenses are fair to customers and are sufficient to allow the licenses to finance their activities and allow for reasonable earnings for efficient operation.

The lawmaker however noted that the Commission, in the exercise of its power under Section 32(2)(d) of the Power Sector Reform Act, licensed a number of companies, including DISCOs, which since take off of their operations in Nigeria, had been ripping off consumers through fixed charges and bulk metering across the country.
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10 comments

  1. Now our leaders are working.

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  2. Mr Sam Amadi heading NERC is not competent and professional in dealing with the Discos,he is more of a politician associated with the corruption in the past PDP administration.I wish and hope a more responsible,forward thinking and responsible head would be appointed to make NERC operate really as a regulatory agency like all other agencies of it's type worldwide.
    Amadi has been at healm of NERC since and yet to make a definitive policy on the roll out of meters,this started when PHCN was still inplace and disappointingly to date,nothing concrete has been done apart from countless and stagnant consultations that bears no fruit.NERC is more of a literary/debating regulatory agency than a policy making one

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  3. The 750 mandatory service charge must be stopped. It is unfair to pay for services I dont recieve. Bunch of thieves .

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  4. Sam Amadi is APC!!

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  5. If these are really implemented, am sure we'll be heading to our promised land. God help us!

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  6. Excellent bill by the Senate. Collecting fixed charges and estimated bills by Electricity Distribution Companies is outright fraud. The Senate should outlaw the use of analogue meters which are being used to generate income for services not rendered, thereby further impoverishing the masses. Lack of regular power supply is the bane of the Nigerian economy more than anything else. Drastic steps must be taken by the government to instill discipline in the critical electricity sub-sector. No more ripping off of consumers.

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  7. EEDC should be stop cos d have rip us off here in nnewi.

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  8. For once,we seem to have a senator who understands and willing to discharge his duty.We need more of Egwu.

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  9. Can u imagine a situation where a community contribute money to buy a transformer to replace old one after months of black out, afterwards, they will still pay huge amount of money for monthly consumption. Phcn is a government scan.

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