According to NERC, the firm has been sanctioned for its “flagrant breaches” of the Credited Advance Payment on Metering Initiative Order.
It stated that the fine was contained in Order NERC/141 and was issued on September 29, 2015 as a follow up to an earlier notice of commencement of enforcement action on the Disco alongside 10 others.
NERC said in a statement on Sunday that the firm, also known as Ikeja Electric, had manifested flagrant breaches in the implementation of the metering initiative.
It said, “The seven days granted (the firm) to show cause why enforcement action should not be commenced expired on August 24, 2015 and IKEDC has failed, refused and/or neglected to respond to the manifest or provide a satisfactory response.
The electricity distribution company was further ordered to “pay an administrative fine of N500 per minute for every hour of the day that it continues to default from October 12, 2015 until it complies.”
NERC said IKEDC’s action violated Section 63(1) of the Electric Power Sector Reform Act, 2005; Section 2(1) of the terms and conditions of its licence; as well as the commission’s order on the CAPMI.
The CAPMI is an initiative of the commission to assist the power distribution companies to close the wide metering gap in the power sector. It was introduced following a nationwide study conducted by NERC, which revealed that more than 50 per cent of electricity consumers were not metered but instead were on estimated billing.
No comments:
Post a Comment