Electric Shock: Enugu Regulator Orders MainPower to Refund Over 20,000 Customers Over Wrongful Billing

In a landmark regulatory action that has stunned both the electricity sector and consumer rights advocates, the Enugu State Electricity Regulatory Commission (EERC) has ordered MainPower Electricity Distribution Company to refund more than 20,000 customers for what it described as “deliberate and sustained wrongful billing.”

This directive, grounded in the powers vested in the Commission by the Enugu State Electricity Law of 2023, marks the most significant enforcement move by EERC since it assumed full regulatory control over the state’s electricity market in October 2024.

The EERC’s order, issued on Monday, June 2, 2025, came after months of correspondence, regulatory tracking, and what appears to be outright defiance by MainPower regarding established caps on estimated billing.

Electricity overbilling has long plagued Nigerian households and businesses, especially those not on prepaid meters. Customers across the country have lamented what they describe as “crazy bills”—charges that do not correspond to actual consumption.

But in Enugu, things appear to be changing.

“This is not just about electricity; it’s about justice, accountability, and protecting the average citizen,” said Chijioke Okonkwo, Chairman of EERC, during a press briefing on Monday.

According to the Commission, affected customers can now verify their eligibility for a refund on its website: www.eerc.en.gov.ng/order. The directive mandates that MainPower process these refunds no later than the July 2025 billing cycle or face fines of ₦500,000 per day for noncompliance.

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The dispute between EERC and MainPower didn’t begin overnight. It is the culmination of a sustained regulatory process that began shortly after the EERC replaced the Nigerian Electricity Regulatory Commission (NERC) as Enugu State’s electricity regulator.

October 2024:

EERC began closely monitoring MainPower’s billing practices, focusing particularly on estimated billing, which the commission considered a major avenue for consumer exploitation.

December 16, 2024:

EERC formally raised concerns with MainPower in a detailed letter, citing data inconsistencies, violations of billing caps, and a lack of metering transparency.

January 14, 2025:

MainPower responded but failed to adequately address the Commission’s concerns. The letter was described as “evasive and lacking substance” by an EERC insider.

April 4, 2025:

Another letter was sent by EERC, escalating its complaints and warning of possible enforcement action if meaningful reforms were not evident in the subsequent billing cycles.

May 6, 2025:

In what was perhaps the most critical correspondence, EERC flagged the “suspiciously striking similarity” in MainPower’s February and March billing reports. MainPower was given 14 days to provide a credible explanation.

May 23, 2025:

The 14-day deadline expired with no response from MainPower.

June 2, 2025:

EERC issued the refund order, citing not only persistent violation of billing caps but a clear pattern of regulatory defiance.

The Violations: 34% Overbilling in April Alone

According to EERC’s findings, MainPower’s overbilling practices worsened over time:

• February–March 2025: Overbilling rate of 24%
• April 2025: Overbilling rate increased to 34%

The Commission concluded that this increase was not coincidental or due to operational challenges but “a deliberate breach” of the terms stipulated in MainPower’s interim licence.

“The data points to systemic malpractice, not mere administrative lapses,” said Reuben Okoye, Commissioner in charge of Market Operations.

Despite multiple opportunities to explain its position, MainPower has remained largely unresponsive. As of June 2, no public statement has been issued by the company.

This silence could prove costly.

Under Section 32(5) of the Enugu State Electricity Law 2023, the EERC is empowered to impose a fine of ₦500,000 for each day that MainPower fails to comply with an official order. If the company fails to refund affected customers by July 31, 2025, it could be liable for tens of millions in fines.

A senior EERC official confirmed that the Commission is prepared to follow through with sanctions.

“We’re not bluffing. Non-compliance will trigger the full weight of the law. This is a new regulatory era,” the source said.

How Will Refunds Work?

The refund process, though complex, has been designed for transparency and simplicity.

According to EERC:

• Affected customers have been listed on the Commission’s website.
• MainPower is to deduct the overbilled amount from customers’ June or July 2025 electricity bills.
• Customers who are not refunded by July can report directly to EERC via their online portal or customer service desk.

A digital verification tool is also being developed to help customers check their eligibility using meter numbers or customer IDs.

Estimated billing thrives because of the widespread absence of prepaid meters. Despite various metering programs, over 50% of electricity consumers in Enugu State remain unmetered.

While EERC has prioritized metering in its long-term roadmap, implementation has been slow due to funding, logistics, and coordination challenges with distribution companies.

Until universal metering is achieved, customers remain vulnerable to arbitrary billing.

What’s Next for EERC and MainPower?

The next 60 days will be critical.

For EERC:

• Monitor refund execution closely.
• Follow through with penalties if necessary.
• Launch investigations into past billing cycles beyond April 2025.
• Intensify metering rollout plans.

For MainPower:

• Issue a public apology or at least a compliance roadmap.
• Begin automatic deductions or credit notes for affected customers.
• Invest in internal audit and compliance overhaul.

Failure to meet these expectations could trigger not only legal penalties but also public boycotts, lawsuits, or even a possible revocation of their distribution licence.

This story is not merely about electricity; it is a watershed moment in the fight for consumer justice in Nigeria.

For decades, electricity consumers have endured exploitation with little recourse. The EERC’s decisive action offers a glimmer of hope—a sign that the regulatory tide may be turning, at least in some parts of the country.

As July approaches, the ball is now in MainPower’s court. Compliance will signal a maturing utility sector; defiance may ignite a confrontation that could redefine electricity regulation in Nigeria.

One thing is clear: consumers in Enugu are watching. And this time, they’re not alone.