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EKEDC Refutes Claims of Customer Extortion Amid STS 2-Meter Upgrade

Simon Osuji by Simon Osuji
November 15, 2024
in Real Estate
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EKEDC Refutes Claims of Customer Extortion Amid STS 2-Meter Upgrade
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The management of Eko Electricity Distribution Company (EKEDC) has firmly denied allegations of extorting customers in relation to the ongoing STS 2-meter upgrade, asserting that the program is entirely free for its users.

The Federal Competition and Consumer Protection Commission (FCCPC) issued a warning on Wednesday to Distribution Companies (DISCOs) to halt any activities concerning the planned replacement of Unistar meters.

EKEDC has observed that some individuals are soliciting payments from unsuspecting customers for the upgrade. In response, the company reiterated that the STS-2 meter upgrade is complimentary, urging citizens not to offer any form of financial or other incentives during the transition to the STS-2 platform. They previously announced a deadline for customers to switch all meters to the STS-2 system to ensure continued recharging capabilities.

In a statement, EKEDC expressed concern over the actions of certain unscrupulous individuals demanding payment for the STS-2 meter upgrade, emphasizing that the upgrade is free and that the company will not request any payments from customers.

The FCCPC, in a statement titled “Obsolete Meters: Violations of Consumer Rights Will Have Serious Consequences,” called for an immediate cessation of such practices.

The statement highlighted that “Sections 17(j), (l), (s), 116 (2), 124, 125, 138, and 155 of the FCCPA Act 2018” are relevant to this issue. The FCCPC expressed concern over rumors suggesting that its directive to Ikeja and Eko electricity distribution companies (IKEDC and EKEDC) to stop all activities related to the Unistar meter replacement might be ignored. The directive remains in effect, and any attempts by these DISCOs to contravene it will face severe repercussions.

Director of Corporate Affairs at FCCPC, Ondaje Ijagwu, clarified that the recent approval of new meter prices by the Nigerian Electricity Regulatory Commission (NERC) is unrelated to the proposed Unistar meter replacements by Ikeja Electric and EKEDC. He added that both the FCCPC and NERC have invalidated the planned replacements, and there is no evidence that the affected DISCOs have violated the directives.

Furthermore, it was emphasized that Ikeja and Eko DISCOs cannot proceed with the withdrawal or replacement of Unistar meters unless they fully comply with NERC’s Order on Structured Replacement of Faulty and Obsolete End-user Customer Meters in the Nigerian Electricity Supply Industry (Order No. NERC/246/2021).

This order mandates that meter replacements be conducted promptly, without service disruption, and at no cost to consumers, ensuring that customers are not subjected to estimated billing due to delays in installations.

The FCCPC reiterated its stance that non-compliance with these directives by Ikeja and Eko DISCOs will not be tolerated, warning that any violations will incur significant penalties in accordance with existing consumer protection laws.



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