Band A Customers To Get Compensation For Power Shortfalls, Says NERC
Amid persistent electricity supply challenges, Nigeria’s power regulator has directed distribution companies to compensate eligible Band A customers affected by generation shortfalls that disrupted promised service levels earlier this year.
The Nigerian Electricity Regulatory Commission (NERC) announced a special compensation package for Band A customers impacted by grid generation constraints between February and March 2026.
According to the Commission, the measure became necessary following significant power generation shortfalls across the Nigerian Electricity Supply Industry (NESI), largely caused by inadequate gas supply and vandalism of critical gas and transmission infrastructure.
Under the directive, Band A feeders that recorded less than 18 hours of daily electricity supply during the period will qualify for special compensation without being downgraded.
Non-Maximum Demand customers will receive credits equivalent to 20 per cent of the approved February 2026 energy cap for their feeder, while Maximum Demand customers will receive 20 per cent of their average February energy bill.
Prepaid customers will receive compensation through token credits, while postpaid customers will benefit from billing adjustments.
NERC also barred distribution companies from using compensation credits to offset existing customer debts and directed them to clearly inform customers about the value and period covered by the compensation.
The Commission said compensation for February 2026 supply shortfalls should be completed by 31 May 2026, while compensation for March 2026 must be concluded by 30 June 2026.
NERC reaffirmed its commitment to protecting electricity consumers while ensuring the stability and sustainability of Nigeria’s electricity market.
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