The Nigerian Electricity Regulatory Commission (NERC) has introduced stricter penalties for electricity consumers who bypass their prepaid meters or engage in energy theft. The amended order, which came into effect on January 22, 2025, stipulates fines of up to N300,000 depending on the customer’s category.
For non-maximum demand customers, fines for the first offense range from N100,000 to N200,000, with higher penalties for repeat offenders. Maximum demand customers caught in energy theft will face fines based on a percentage of their last recorded energy consumption, ranging from 450% to 600%.
The new regulations also grant distribution companies the right to disconnect unauthorized connections without notice, and offenders will have to pay for meter replacement and administrative charges to reconnect.
Energy theft, including tampering with meters or illegal connections, has been a growing issue, leading to significant revenue losses for power distribution companies. Companies like Ikeja Electric and Eko DisCo have voiced concerns over the financial impact and called for collective efforts to eliminate such activities to improve service and network investments.
This move aligns with the Electricity Act 2023 and Customer Protection Regulations 2023, aiming to strengthen the sector’s financial stability and reduce illegal access to electricity.
