The Nigerian Electricity Regulatory Commission (NERC) has directed electricity distribution companies (DisCos) to compensate eligible Band-A customers who experienced service disruptions resulting from power generation shortages between February and March 2026.
The directive, issued under NERC Directive No. NERC/2026/002 on the Special Compensation of Band-A Customers Arising from Grid Generation Constraints, followed a review of electricity supply challenges that prevented some DisCos from delivering the minimum service levels promised to customers within the premium tariff category.
According to the Commission, the supply shortfalls were linked to significant declines in power generation across the national grid during the period under review. NERC explained that the constraints stemmed largely from inadequate gas supply to power plants and acts of vandalism targeting key gas and electricity transmission infrastructure.
The regulator noted that the circumstances responsible for the disruptions were largely outside the operational control of the affected distribution companies. However, it maintained that customers who paid for higher levels of electricity service under the Band-A classification should receive appropriate compensation where service commitments were not met.
The directive is aimed at protecting consumer rights and ensuring accountability within the power sector, while reinforcing compliance with service delivery obligations tied to the tariff structure.
NERC said the compensation framework would apply to eligible customers impacted by the generation constraints and is expected to be implemented by the affected DisCos in line with the Commission’s guidelines.
