NERC directs DisCos to refund N20.33bn to customers within 12 months

The Nigerian Electricity Regulatory Commission (NERC) has ordered electricity distribution companies (DisCos) to refund a total of N20.33bn to customers who paid for meters under the Meter Asset Provider (MAP) scheme but are yet to be fully reimbursed.

In a new directive, the regulator instructed that the outstanding amount must be recovered and completely paid back to affected customers over a 12-month period starting March 1, 2026.

Under the MAP framework, customers are required to pay upfront for electricity meters, with the understanding that DisCos will refund the cost over time through energy credits. However, NERC observed that reimbursements have progressed slowly, prompting regulatory intervention.

The directive, titled Order No: NERC/2026/025, amends an earlier 2023 order on meter cost reimbursement. It was signed on February 27, 2026, by NERC Chairman, Musiliu Oseni, and the Commissioner for Legal, Licensing & Compliance, Dafe Akpeneye.

According to the commission, as of December 31, 2025, distribution companies had failed to settle N20.33bn owed to customers under the MAP arrangement.

“In February 2026, the commission reviewed the level of compliance of DisCos with the expected reimbursement to customers who have paid for meters under the MAP framework.

The review highlighted that DisCos have an outstanding amount of N20.33bn to reimburse customers for meters procured under the MAP framework as at 31 December 2025,” the order stated.

NERC explained that the fresh directive is designed to curb persistent delays, improve transparency in customer notifications, and enhance public confidence in the power sector.

Read also: Rivers Assembly moves to screen Fubara’s nine commissioner nominees

A key feature of the order is the automation of refunds. The commission mandated that meter reimbursement credits must be automatically reflected in customers’ accounts once the meter is activated.

“DisCos shall ensure that the total cost of a MAP meter is recognised as credit on the customer’s account upon activation of the meter and disbursed automatically as monthly credits over the approved amortisation period,” the commission stated.

The regulator also prohibited DisCos from using reimbursement credits to offset customers’ old debts. “DisCos shall not offset meter reimbursement credits against customer legacy debts; the items must be treated separately,” the order stated.

For prepaid customers, distribution companies are required to generate monthly energy tokens reflecting the reimbursement, while postpaid customers must see the refund as a separate credit entry on their bills.

NERC said, “For customers with prepaid meters, no later than the 4th day of every month, the DisCo’s billing system will automatically generate a token with an energy value equivalent to the monthly reimbursement which the customer is due to receive over the 120-month amortisation period based on the prevailing tariff for the customer.

“For post-paid customers, the monthly reimbursement of the cost of a MAP meter shall appear as a distinct credit line item which is expected to be subtracted from the customer’s total payable for the month.”

To address the N20.33bn backlog, the commission directed DisCos to fast-track repayments within one year. Under the accelerated recovery plan, prepaid customers will receive two reimbursement tokens monthly, while postpaid customers will see two credit line items on their bills.

“To recover the sum of N20.33bn that was not reimbursed to customers as at 31 December 2025, DisCos shall accelerate the rate of recovery for the affected customers over a 12-month period commencing from 1 March 2026,” the order said.

In addition, the commission mandated strict oversight measures, including monthly compliance reports and the creation of dedicated complaint channels for customers who have not received their refunds.

“All DisCos shall file monthly reports with the Commission detailing the total monetary value of the reimbursement to customers through energy credit, in accordance with the template approved by the Commission.

“All DisCos shall establish a dedicated email address for the receipt of complaints from customers who have not received MAP meter cost reimbursements. Details of such complaints, including the status of their resolution, shall form part of the monthly compliance reports submitted to the commission,” it added.

With the directive set to take effect from March 2026, customers who financed their meters under the MAP scheme are expected to begin receiving accelerated credits, while the regulator intensifies oversight of compliance across the electricity distribution sector.

The post NERC directs DisCos to refund N20.33bn to customers within 12 months appeared first on Latest Nigeria News | Top Stories from Ripples Nigeria.