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Lagos Residents Protest, Accuse Eko Electricity Company Of Extortion, Fraudulent Billing Of N150,000 Per Compound

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September 17, 2024

In a letter to EKEDP's Acting CEO, Mrs. Rekhiat Momoh, the residents expressed dissatisfaction with the "unjustified and fraudulent" billing system, which imposes exorbitant charges ranging from N40,000 to N150,000 per compound, despite minimal electricity usage.

Residents of Ajeromi-Ifelodun Local Government Area of Lagos State, under the aegis of Ajegunle Peoples Movement (APM), have petitioned Eko Electricity Distribution Plc (EKEDP) over alleged multiple billing and overcharging practices.
In a letter to EKEDP's Acting CEO, Mrs. Rekhiat Momoh, the residents expressed dissatisfaction with the "unjustified and fraudulent" billing system, which imposes exorbitant charges ranging from N40,000 to N150,000 per compound, despite minimal electricity usage.
The residents also condemned the additional flat-rate bills of N7,808, allegedly to recover NERC's penalty against EKEDP for failing to properly bill residents or overbilling prepaid metre consumers.
APM claimed that community findings revealed these multiple billings lack NERC’s orders or backing, making them "unwarranted and unlawful." 
The affected communities, including Etugbo Street, Layinka Street, and Boundary Road, experience erratic power supply, affecting small businesses, sleeping hours, and neighbourhood security.
In a video made available to SaharaReporters, the angry residents were heard saying the EKEDP officials were lying that the overbilling was authorised by the Nigerian Electricity Regulatory Commission (NERC). 
“Between January last year and September last year, EKODisco cheated us with 14 million naira and when we observed that they don introduced two bills for us (per metre), we asked why they introduced two bills, the first thing they told us was that they want to give us prepaid metres,” one of them said in the video. 
APM’s press statement also reads: “We, the undersigned representatives of Ajegunle Peoples Movement (APM), on behalf of the residents and consumers of electricity in the Ajeromi-Ifelodun Local Government Area, write to express our deep dissatisfaction and outright rejection of the multiple and unjustified billing practices recently imposed on our communities by Eko Electricity Distribution Plc (EKEDP). We note with dismay that this practice is not only burdensome but also without the legal backing of the National Electricity Regulation Commission (NERC). Therefore, we consider it as both fraudulent and illegal.

“A particularly troubling development is the issuance of an additional distinct bill for every bill to consumers. The first is the "normal bill," that imposes exorbitant charges ranging from N40,000 to N150,000 per compound. This is even though many of these compounds are inhabited by tenants who use minimal electricity, typically limited to just light bulbs and fans. In addition, EKEDP has imposed separate new bills at a flat rate of N7,808 each on consumers, in addition to the regular monthly bills. We have been informed that this additional billing is to surreptitiously recover NERC’s penalty against EKEDP for failing to properly bill residents or for overbilling consumers that were provided prepaid meters. However, community findings have revealed that such multiple billings lack NERC orders or backing, making them unwarranted and unlawful.

“It is alarming that even though most of the Ajeromi-Ifelodun LGA are classified under Band B and C for electricity supply, we are witnessing clear instances of extortion through overbilling in various streets, including but not limited to Etugbo Street, Layinka Street, Boundary Road, Odofin Street, Amechi Street, Arumoh Street, Nosamu Street, Orodu Street. These communities suffer from erratic and insufficient power supply, which has severely affected small and medium enterprises (SMEs), disrupted sleeping hours, and jeopardised the security of the neighbourhood. The inflated bills imposed on these residents are neither justifiable nor reflective of the poor level of service received.

“Furthermore, we are disheartened by the continued failure of EKEDP's management to produce the NERC Order that purportedly authorised these multiple billings, as was promised during the dialogue meeting held on August 16, 2024, with the EKEDP Orege branch and Apapa District, led by Mr. Olaitan, Head of Billing. This failure to produce the said Order raises serious concerns about the transparency and fairness of the current billing practices.

“In protest of these unreasonable charges and EKEDP's refusal to provide the requisite documentation, we hereby reject and return the recent flat-rate bills of N7,808, which have no basis in NERC regulations and billing methodology. We demand an immediate cessation of these multiple billing practices, withdrawal of all extra bills and no disconnection of any consumer/customer based on the new bill. We insist on a transparent, equitable billing system that reflects actual consumption and is in compliance with NERC guidelines. We also demand the issuance of prepaid meters to all consumers/customers free of charge.

“Moreover, we request a town hall meeting between EKEDP management and the residents of Ajeromi-Ifelodun LGA to address these grievances openly and transparently. We trust that EKEDP will take immediate action to rectify this situation and restore the trust of the people.”