The Federal Competition and Consumer Protection Commission (FCCPC) has announced its intervention in addressing widespread concerns regarding the impending phase-out of Unistar prepaid meters by Ikeja Electric and other electricity distribution companies (DisCos).
The Commission said the move comes in response to a surge of consumer complaints.
In a statement by the Commission’s Director of Special Duties and Strategic Communication, Ondaje Ijagwu, it was revealed that Ikeja Electric’s recent announcement indicates that Unistar prepaid meters, first deployed over a decade ago, will no longer be supported after 14 November 2024.
This decision the Commission attributed to technological upgrades and the Token Identifier (TID) rollover issue.
The FCCPC expressed concern over the growing anxiety among consumers, particularly regarding potential financial burdens. Many consumers fear they may be required to bear the cost of new meters.
Additionally, the Commission said there are apprehensions about the possible imposition of arbitrary estimated billing during the transition—a practice that would contravene existing regulations.
The Commission further noted that these concerns have been exacerbated by the lack of clear communication from the DisCos about the meter phase-out process, leading to consumer uncertainty and increasing distrust in the sector.
The FCCPC is engaging with the DisCos to ensure transparency and consumer protection throughout the transition period.
The statement partly read: “In line with its mandate to protect consumers and promote fairness in the Nigerian marketplace, the FCCPC is actively engaging key stakeholders, including the Nigerian Electricity Regulatory Commission (NERC), Nigerian Electricity Management Services Agency (NEMSA), and the eleven (11) DisCos. The goal is to make the metering process transparent and accountable while protecting consumer interests.
“The FCCPC is initiating discussions with Ikeja Electric and other stakeholders to clarify the phase-out process and ensure that DisCos bear the cost of replacing phased-out meters, without imposing extra charges on consumers.
“The Commission will also work to ensure that DisCos comply with regulatory guidelines, preventing consumers from being unfairly charged or placed on estimated billing. Additionally, the FCCPC will ramp up consumer education on their rights, especially regarding metering and electricity billing, to prevent exploitation.
“The FCCPC is committed to preventing any disadvantage to consumers during this meter upgrade. This intervention is in line with President Bola Tinubu’s Renewed Hope agenda, aimed at ensuring fair treatment for Nigerian consumers and access to essential services like electricity.”
The Commission reaffirmed its commitment to consistently advocate for Nigerian consumers, ensuring that service providers, including DisCos, operate in a consumer-friendly, fair, and transparent manner.