LASERC says consumers cannot be billed for debts older than one year

This Video Is Trending Right Now →

Key points

• The Lagos State Electricity Regulatory Commission (LASERC) says electricity companies cannot recover charges that are more than 12 months old.
• The rule does not apply in cases involving meter tampering, illegal electricity use or obstruction of meter reading.
• LASERC urged consumers to understand their rights under the state’s electricity regulatory framework.
• The commission took over electricity regulation in Lagos from NERC following the implementation of the Electricity Act 2023.
• LASERC has also maintained that electricity operators must recover their costs and should not depend on subsidies.

Main story

The Lagos State Electricity Regulatory Commission (LASERC) has clarified that electricity distribution companies and other licensed operators in the state cannot demand payment for electricity charges that are more than one year old.

The commission said the restriction is part of consumer protection measures under the state’s electricity regulatory framework and is intended to prevent customers from being burdened with long-outstanding bills that were not recovered within a reasonable period.

According to LASERC, electricity supply licensees are barred from recovering charges that exceed 12 months, except under specific circumstances involving customer misconduct.

The commission noted that the exceptions include cases of meter tampering, illegal consumption of electricity and situations where customers deliberately obstruct meter reading or prevent utilities from carrying out their duties.

The clarification forms part of LASERC’s efforts to increase consumer awareness as it assumes responsibility for regulating electricity activities in Lagos State following the transfer of regulatory powers from the Nigerian Electricity Regulatory Commission (NERC) under the Electricity Act 2023.

The development comes amid growing concerns among electricity consumers over estimated billing, accumulated debts and disputes over historical charges.

LASERC has repeatedly emphasised the need for transparency and accountability within the electricity sector while also maintaining that operators must be allowed to recover legitimate costs to ensure the sustainability of electricity services.

The issues

Electricity billing disputes remain one of the most common complaints among consumers in Nigeria, particularly where customers receive bills for charges accumulated over several years.

Consumer advocates have argued that allowing utilities to recover very old debts can create financial hardship and increase conflicts between customers and service providers.

At the same time, electricity operators contend that revenue collection is essential for maintaining infrastructure, improving service delivery and attracting investment into the sector.

The latest clarification seeks to balance consumer protection with the financial viability of electricity providers by setting a clear limit on recoverable charges while preserving penalties for illegal electricity consumption.

What’s being said

“Electricity supply licensees cannot recover charges older than 12 months, except in cases of meter tampering, illegal use, and obstruction of meter reading.” — Lagos State Electricity Regulatory Commission (LASERC)

“Stay informed, stay protected.” — Lagos State Electricity Regulatory Commission (LASERC)

What’s next

Consumers who receive bills containing charges older than one year may seek clarification from their electricity provider or lodge complaints with LASERC where necessary.

The commission is expected to continue issuing consumer protection guidelines as it expands its oversight of the Lagos electricity market.

Bottom line

LASERC says electricity customers in Lagos cannot be compelled to pay electricity charges that are more than 12 months old, unless the debt arose from meter tampering, illegal electricity use or obstruction of meter reading.