The Electricity Consumer Protection Advocacy Center (ECPAC) has accused the Nigerian Electricity Regulatory Commission (NERC) and electricity distribution companies (DISCOs) of selective enforcement and regulatory imbalance, warning that weak compliance mechanisms have fueled electricity theft, vandalism and widespread fraud against consumers.
Speaking at a press briefing on Tuesday, ECPAC Executive Director, Chief Princewill Okorie, said recent public messaging by NERC that focuses largely on consumer-led electricity theft ignores alleged violations by DISCOs and the regulator’s own enforcement lapses under the Electricity Act 2023 and applicable regulations.
“NERC must apply fairness and balance in its regulatory duties as required by law,” Okorie said, citing Section 34(i)(f) of the Electricity Act 2023, which mandates equitable regulation for licensees, consumers, investors and other stakeholders. “It is misleading to criminalise consumers in the media while overlooking systemic failures and infractions by DISCOs.”
Okorie questioned whether NERC had functional enforcement structures to address electricity-related offences outlined in the Act, including theft, meter tampering, vandalism and receiving stolen electricity.
“Does NERC have an Electricity Offences Enforcement Unit? Is there a Penalties and Offences Compliance Unit?” he asked.
“The absence or inaction of these mechanisms has contributed significantly to the rise in unlawful acts, yet consumers are routinely blamed.”
He argued that communities have been left to protect electricity assets at their own cost, including fencing transformers, without support from DISCOs or acknowledgment from the regulator.
“Consumers are spending their resources to secure transformers without a kobo from DISCOs, but NERC remains silent,” Okorie said.
Allegations of Fraud and False Pretenses by DISCOs
Beyond electricity theft, ECPAC accused DISCOs of regularly committing fraud and obtaining money from consumers under false pretenses, contrary to Sections 216 and 217 of the Electricity Act 2023 and Section 419 of the Criminal Code.
“A review of NERC’s regulatory activities shows little or no enforcement against DISCOs for these offences, despite the scale of harm to consumers,” Okorie said.
He cited several examples to support ECPAC’s position.
On Bulk billing, he noted that it was officially abolished in 2016, but is allegedly still being applied in rural, unmetered areas.
Okorie pointed out that unmetered transformers in many communities make it impossible to verify energy consumption, yet consumers continue to receive estimated bills.
He further stated that under the Meter Asset Provider (MAP) scheme, consumers who paid for meters have not been refunded through energy credits as stipulated.
He went on: “The third-party investment policy, which allows consumers to recover costs for providing infrastructure, is being “implemented deceptively,” with DISCOs taking over assets without refunds.
“The National Mass Metering Programme (NMMP), launched in 2020 to provide free meters, has allegedly been abused, with some DISCOs selling meters and charging installation fees despite receiving N59 billion in loans.
“Which theft is greater than taking over consumers’ investments, making money from them, and refusing to refund the owners?” Okorie asked.
“DISCOs boldly claim consumers owe them millions of naira, even when those figures are generated outside approved laws.”
Okorie stressed that ECPAC does not justify electricity theft by consumers, but insisted that fraud by DISCOs must be treated with equal seriousness.
“Both electricity theft and obtaining under false pretences are criminal acts and must be prevented, enforced and punished,” he said.
Among ECPAC’s recommendations are the establishment of a National Electricity Penalties and Offences Committee comprising NERC, DISCOs, consumer groups, the Federal Competition and Consumer Protection Commission (FCCPC) and law enforcement agencies.
“Rule of law must prevail in the electricity sector,” Okorie said. “If DISCOs are given powers to punish consumers, consumers should also have enforceable remedies against DISCOs that commit fraud.”
He added that periodic complaint resolution meetings are insufficient without strong sanctions against operators that violate consumer protection regulations.
“NERC should show Nigerians the same level of commitment in preventing fraud by DISCOs as it does in publicising electricity theft,” Okorie said. “Anything less amounts to tacit support for abuse.”
