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NERC Introduces Stricter Penalties for Electricity Theft

February 19, 2025
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Electricity
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The Nigerian Electricity Regulatory Commission (NERC) has rolled out tougher penalties for consumers who bypass their prepaid meters or engage in illegal electricity connections. Under the newly amended order on unauthorised access, meter tampering, and bypass, fines now range from N100,000 to N300,000, depending on the customer category.

Maximum demand customers found guilty of energy theft will face penalties between 450% and 600% of their last recorded consumption. This amendment, which took effect on January 22, 2025, aligns with the Electricity Act 2023and Customer Protection Regulations 2023, empowering electricity distribution companies to disconnect unauthorised connections without prior notice.

The objective of this order is to curb energy theft, establish clear reconnection guidelines, and ensure compliance with electricity regulations. Offenders will be required to pay administrative charges, including the cost of meter replacement, before being reconnected.

Electricity distribution companies have raised concerns over the increasing cases of meter bypassing, especially after the recent tariff adjustments for Band A feeders. The Ikeja Electricity Distribution Company (IKEDC) has warned that energy theft will now lead to criminal prosecution rather than just financial penalties.

Similarly, the Eko Electricity Distribution Company (EKEDC) has identified illegal connections and meter tampering as major challenges affecting the power sector. EKEDC’s Acting CEO, Mrs. Rekhiat Momoh, highlighted that energy theft results in billions of naira in annual losses, hindering infrastructure upgrades and network expansion.

As stakeholders push for stricter enforcement, electricity consumers are urged to comply with regulations to ensure a stable and efficient power supply.

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