NERC Threatens Sanctions as DisCos Get January 1 Deadline for STS Meter Upgrade
The Nigerian Electricity Regulatory Commission (NERC) has given Electricity Distribution Companies (DisCos) a deadline of January 1, 2025, to complete the upgrade of Standard Transfer Specifications (STS) meters for all their customers.
Failure to comply with this directive will result in daily penalties for each meter not migrated.
According to NERC, the upgrade is necessary to prevent disruption of service and ensure that customers continue to enjoy uninterrupted electricity supply.
The statement says: “NERC has directed DisCos to rapidly conclude the migration of STS-Meters for all their customers to prevent disruption of service.
“During the Q4 NESI Stakeholders Meeting, the Commission warned that daily penalties would be imposed for each meter not migrated effective from 1st January 2025.”
The commission emphasized that DisCos are responsible for replacing all obsolete or faulty meters within their franchise areas without charging customers.
NERC’s directive is in line with the Customer Protection Regulation 2023, which prohibits DisCos from charging customers for the replacement of obsolete or faulty meters or transferring them to estimated billing.
The commission has warned that it will impose penalties on any defaulting DisCos.
The Federal Competition and Consumer Protection Commission (FCCPC) has also weighed in on the issue, calling on DisCos to prioritize the rights of consumers in the metering process.
The call took place during a stakeholders’s meeting early last month where the Executive Vice Chairman/Chief Executive Officer of FCCPC, Mr. Tunji Bello, called DisCos to prioritise the rights of consumers in the metering processes.
He expressed concern over systemic inefficiencies that plague consumers, particularly in metering and billing practices.
“We are here today because consumers’ rights in metering must be a priority.
“The recent challenges, especially the arbitrary billing practices and the lack of transparency in metering are unacceptable.
“We must ensure that consumers are treated fairly and that all practices adhere to the guidelines set out by regulatory bodies like the NERC,” Bello said.
In a related development, the Nigerian Electricity Regulatory Commission has acknowledged the challenges faced by consumers and urged DisCos to replace obsolete prepayment meters for their customers without charge.
The commission emphasized that, under the Nigerian Electricity Supply Industry Act, it is the responsibility of DisCos to replace faulty or outdated prepayment meters for their customers.
Read also: NERC Orders Discos to Downgrade Customers in Band A Categories if 20-Hour Supply Promise is Unmet