KEY POINTS
- IBEDC mandates minimum recharge of ₦5,000 for Band A customers.
- The policy faces criticism from advocacy groups because they view it as unlawful and hostile to customers.
- Objectionable evidence has resulted in regulatory investigation leading potentially to official intervention.
The Ibadan Electricity Distribution Company (IBEDC) announced a new Band A customer requirement to spend at least ₦5,000 in addition to all other bands requiring at least ₦2,000. Customers previously had freedom to buy energy credits in any specified amount.
Wide negative reaction resulted when The IBEDC implemented this policy which several consumer organizations and government authorities defined as an antiposite and oppressive measure against public consumers.
Many advocacy advocates contend that this policy diminishes customer freedoms and extends stolen energy usage instead of decreasing it.
The IBEDC communicated that its new payment scheme had already activated with strict applicability towards all IBEDC customer accounts.
All Electricity Consumers Forum’s National Coordinator Adeola Samuel-Ilori deemed the policy unconstitutional. Everyone has the fundamental authority to access electric power because it stands as a basic human right. Manufacturing consumers spend more than what they can handle is unethical. If the company does not rescind its policy we will initiate legal proceedings.
Advocacy groups call for regulatory intervention
Consumer advocacy groups PowerUp Nigeria alongside the Nigeria Consumer Protection Network urge both the Nigerian Electricity Regulatory Commission (NERC) and Federal Competition and Consumer Protection Commission (FCCPC) to investigate this policy.
PowerUp Nigeria representative Adetayo Adegbemle warned that consumers struggling to meet minimal usage requirements could start bypassing their meters to prevent more energy theft.
The Nigeria Consumer Protection Network’s Kola Olubiyo argued that this implementation weakens fierce market competition and violates consumer freedom by establishing a market dominated by one power company. Regulatory bodies must intervene swiftly.”
The IBEDC defended this policy because it aimed to detect and reduce energy theft in its network. According to an unnamed official the company observed a pattern of customers who paid low bills while their power usage remained steady.
According to the official’s account we discovered that Band A customers were consuming extremely small amounts below two units per day that stood out as unusual cases.