NERC directs DisCos to deploy SOP to combat electricity theft

Business Pointers

By Seun Ibiyemi

The Nigerian Electricity Regulatory Commission (NERC) has directed all Electricity Distribution Companies (DisCos) to implement a comprehensive Standard Operating Procedure (SOP) aimed at detecting meter bypass, tampering, and other forms of electricity theft.

The directive, contained in Order No. NERC/2014/148 and published on the commission’s website in Abuja on Thursday, outlines detailed investigative and enforcement procedures that distribution companies must follow when suspicious electricity consumption patterns or billing anomalies are identified.

Under the order, DisCos are required to interview witnesses, residents, and local authorities to gather information on unauthorised access or suspicious activity, with all interviews properly documented.

Read also:NERC orders DisCos to refund N20.33bn to customers for meter purchases

The SOP also mandates the use of advanced technologies, including advanced metering infrastructure, data analytics, and monitoring systems, to detect abnormal consumption patterns.

“Distribution companies are required to first identify locations where electricity theft may be occurring by analysing consumption data, billing discrepancies, and unusual indicators,” the commission stated.

Flagged areas must undergo detailed reviews of electricity usage records to determine potential meter manipulation or illegal connections. Surveillance and monitoring activities, including field observations, are required to gather additional evidence, alongside physical inspections of electricity meters, power lines, transformers, and distribution boxes.

Where meter tampering or illegal access is suspected, integrity tests must be conducted and documented with photographs and video recordings in the presence of customers.

Offenders are to receive formal disconnection notices, and power supply may be suspended in accordance with regulatory procedures.

NERC emphasized that affected DisCos must comply with all legal and regulatory requirements during inspections and evidence gathering. Offenders may face penalties under existing laws, and distribution companies are expected to collaborate with law enforcement agencies for investigation and prosecution.

The commission said the SOP is part of its broader strategy to strengthen oversight in the Nigerian Electricity Supply Industry, protect infrastructure, and reduce losses caused by unauthorised network access.

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