NERC Directive is for MD customers –IBEDC

The management of Ibadan Electricity Distribution Company (IBEDC) hereby wishes to clarify the current news item making the rounds regarding the Nigerian Electricity Regulatory Commission (NERC) directive that electricity consumers without prepaid meters should stop paying estimated bills. The commission (as found on the NERC website) states that MD (Maximum Demand) customers that are unmetered should henceforth not pay any bill presented in the form of estimated bills and must not be disconnected as well. As opposed to the information being incorrectly published by certain media outlets, we wish to reiterate that the directive is only applicable to MD customers (industrial, commercial and large corporates) and not Residential Customers.

As one of the eleven Discos in Nigeria, IBEDC has two categories of customers namely MD (Maximum Demand) Customers and Non-MD (Non-Maximum Demand/ Residential Customers). MD customers are commercial and industrial customers who consume high levels of electricity and contribute substantially to the revenues of distribution companies. Residential Customers on the other hand are those using electricity exclusively for residential purposes and are on public transformers.

To ensure a clear understanding, the NERC directive is a culmination of an earlier agreement reached with all DisCos in June 2016 to meter all MD customers before November 30, 2016. The date was later extended to March 1, 2017. IBEDC has since complied with the directive by metering all our identified MD customers.

Meanwhile, the metering process for our residential customers within the IBEDC coverage area is ongoing. Despite the attendant challenges, we are metering intensively, as the plan is to meter over 120,000 customers in 2017.

We remain resolute in our commitment to continue to deliver the best service and power to our esteemed customers. We implore our unmetered customers to continue to pay their estimated bills until we meter them. Estimated bills are generated using the Cluster Average Methodology as regulated by NERC.