The recent release of the list of offences and the penalties by the Nigeria Electricity Regulatory Commission (NERC) has drawn wide reactions from Nigerians. Many people have come down hard on NERC, accusing them of insensitivity in light of the current state of the economy and the challenges faced by citizens.
Some industry watchers, who preferred to remain anonymous, described the penalties attached to the offences as stringent and draconian. They stressed the need to protect and maintain sanity in the power sector, but they also picked holes with the present arrangement where consumers are left at the mercy of the distribution companies (DISCOS), the last link in the chain with direct dealings with consumers.
More persons interviewed decried the situation, saying that consumers have been highly disadvantaged. They argue that the provisions of the new Electricity Act did not put into contemplation the continuous dwindling state of the economy, and that the law has emboldened the DISCOS to behave as they so wish.
On social media, Nigerians have expressed their anger and frustration with the new law. @sneaksdblings posed the following questions: “What are the penalty for discos that refuse to attend to genuine customer complaint after a week? What is the fine for discos that refuse to meter their customers? what is the fine for discos that deliberately overcharge customers against the NERC act?”
@EricScent said: “What happens when a licensee (Disco) fails to comply with NERC forum rule/decision? Will NERC implement any of these penalties as prescribed in the electricity act of 2023 due to non-compliance? Our community awaits your response on this.”
@homizegba asked: “Please, what the penalty under the law for discos who send bills for power not supplied or unusable power due to poor voltage? You make laws against the people in favour of shylocks. Tell Discos to do the needful.”
@cyberbook asked: “What is the penalty for Discos that inflate the meter reading and issue exorbitant estimated bills?”
These reactions reflect the widespread dissatisfaction among Nigerians with the performance of the power sector. For close to three decades, the sector has been plagued by serious challenges, including poor infrastructure, systemic corruption, and mismanagement. These challenges have had a significant negative impact on the socio-economic development of the nation.
The new Electricity Act 2023 is intended to address some of the challenges inherent in the power sector. The Act repeals the Electricity and Power Sector Reform Act 2005 and establishes a thorough legal and administrative framework for the operation of Nigeria’s fully privatized electricity market. The Act also empowers states, companies, and individuals to generate, transmit, and distribute electricity.
Experts believe that the new regime, if fully implemented, will go a long way in addressing the numerous challenges and anomalies in the system. However, many Nigerians are skeptical about the government’s commitment to implementing the law effectively. They are also concerned that the penalties prescribed for the various offenses are not stringent enough to deter the DISCOS from engaging in unethical and exploitative practices.
The following are some of the urgent issues that need to be addressed by NERC:
- Non-metering of consumers by the DISCOS
- Undue delays in issuing meters, even after the consumer has paid and finalized the processing
- Crazy and overestimated billing
- Poor and delayed response to fixing or replacing faulty transformers, cables, etc.
- The practice of asking the consumers to contribute towards the buying of transformers, poles, and cables
- The nefarious activities of some field staff of DISCOS
- Over delays in resolving consumers’ complaints or grievances, even by NERC
Nigerians are eagerly expecting to see definite changes and improvements in the power sector as a result of the new Electricity Act. However, it is important to note that the success of the new law will depend on the government’s commitment to its implementation and the willingness of NERC to hold the DISCOS accountable for their actions.