FG To Impose N300,000 Fine For Prepaid Meter Bypass

The Nigerian Electricity Regulatory Commission (NERC) has announced fines of up to N300,000 for consumers caught bypassing prepaid meters. The penalties were outlined in an amended Order on Unauthorised Access, Meter Tampering, and By-Pass, released on Tuesday.
The fines vary based on customer categories, with non-maximum demand single-phase residential users facing a N100,000 fine for a first offence and N150,000 for subsequent offences. Non-maximum demand three-phase customers will pay N200,000 for a first offence and N300,000 for repeat violations. Maximum demand customers will be charged between 450 per cent and 600 per cent of their last recorded energy consumption if found guilty of energy theft.
According to NERC, the amendment replaces Order No: NERC/REG/41/2017 and took effect on January 22, 2025. It aligns with the Electricity Act 2023 and the Customer Protection Regulations 2023, which allow electricity distribution companies to disconnect unauthorised connections without notice and outline reconnection conditions.
The new order aims to curb unauthorised access to electricity, meter tampering, and bypassing while providing clear reconnection guidelines. It states that customers found guilty must pay administrative charges, including meter replacement costs, before reconnection.
The move comes amid growing concerns over energy theft. Recently, Ikeja Electricity Distribution Company (Ikeja Electric) raised alarm over the rising cases of illegal connections, warning that offenders would face legal action rather than just penalties for revenue loss.
Kingsley Okotie, Head of Corporate Communication at Ikeja Electric, highlighted the increasing rate of electricity theft, particularly after the implementation of revised tariffs for Band A feeders. He warned that widespread theft could compromise the company’s ability to meet customer expectations.
“The theft is massive, and if this trend continues, we cannot guarantee service delivery. Some people think they won’t face consequences if they’re not caught, but that is false. This narrative must change,” Okotie stated.
Similarly, Babatunde Lasaki, spokesperson for Eko Electricity Distribution Company (Eko DisCo), identified meter bypass, tampering, and illegal connections as major challenges in Nigeria’s power sector. He noted that these activities lead to significant revenue losses, limiting investments in infrastructure and service improvements.
Eko DisCo’s acting chief executive officer, Rekhiat Momoh, urged customers to support efforts to combat electricity theft.
“Energy theft is a major problem affecting our network and the power sector. We lose billions of naira annually to this menace, which affects our ability to expand and upgrade infrastructure for stable power supply,” she said.
With stricter regulations and enforcement, NERC and electricity distribution companies hope to curb energy theft and improve service delivery across Nigeria.