Power Distruptions: Electricity Companies to Compensate Some Band ‘A’ Customers

BY BONNY AMADI

National War College (NWC), Chinese Embassy, Band “A” customers in at least 557 streets across the country and others will receive compensation from electricity distribution companies (DisCos).

This followed a directive to the electricity companies by the Nigerian Electricity Regulatory Commission (NERC).

According to NERC, the order was issued because the companies failed to meet the minimum 20-hour daily electricity supply requirement stipulated under the revised electricity tariff regime. Nigerian fashion.

The directive, contained in the April 2025 Multi-Year Tariff Order (MYTO) released by NERC, affected 152 electricity feeders and mandated compensation through electricity credits or im- proved power supply.

The MYTO said, “Pursuant to the provisions of the order on migration of customers and compensation for service failure under the service-based tariff framework (‘Order on Migration’) and the directive to electricity distribution companies on Band A feeder performance monitoring, upgrade and downgrade (‘Directive for Operationalisation of Band A Feeders’), the commission, based on the feeder performance report for March 1, 2025, hereby orders as follows.”

DisCos listed in the directive include Abuja Electricity Distribution Company (AEDC), Eko Electricity Distribution Company (EKEDC), Ikeja Electric (IE), Port Harcourt Electricity Distribution Company (PHED), Enugu Electricity Distribution Company (EEDC), Ibadan Electricity Distribution Company (IBEDC), Benin Electricity Distribution Company (BEDC), Kano Electricity Distribution Company (KEDCO), and Kaduna Electricity Distribution Company (KAEDC).

Enugu Electricity Distribution Company was also instructed to improve power supply in certain areas.

The order comes one year after NERC implemented a controversial over-300 per cent tariff hike for Band A customers, the highest-paying category, who were promised at least 20 hours of daily electricity supply.

Despite the hike and the expansion of the Band A network, many customers have complained of erratic power supply, higher production costs, and decreased disposable income.

In the latest order, NERC stated, “AEDC shall make appropriate compensation to the affected customers in Band A feeders listed in Appendix 3 for failure to deliver up to 20 hours of average supply, but more than 18 hours of average supply, in line with the provisions of the Order on Migration while the feeders shall remain as Band A.

“AEDC shall downgrade the Band A feeder listed in Appendix 2 to the commensurate level of supply and make appropriate compensation to the affected customers in line with the provisions of the Order on Migration.”

EKEDC tops the list with compensation due on 155 streets across 57 feeders. AEDC follows with compensation to be made to customers on 74 streets across 20 feeders.