ABUJA, Nigeria – The Nigerian Electricity Regulatory Commission (NERC) has approved a special compensation package for eligible Band A electricity customers affected by prolonged power supply shortfalls caused by generation constraints between February and March 2026.
The directive follows widespread disruptions across the Nigerian Electricity Supply Industry (NESI), largely linked to gas shortages and vandalism of critical power infrastructure.
In a public notice issued on Thursday, NERC said it introduced Directive No. NERC/2026/002 to compensate customers who did not receive the minimum service levels guaranteed under the Band A tariff framework.
“The shortfalls were largely attributed to inadequate gas supply and vandalism of critical gas and transmission infrastructure, factors beyond the direct operational control of the DisCos,” the commission stated.
Under the new directive, customers connected to Band A feeders that recorded less than 18 hours of daily electricity supply during the affected period will receive special compensation.
Non-maximum demand customers will receive credits equivalent to 20 per cent of the approved February 2026 energy cap applicable to their feeders, while maximum demand customers will receive compensation equivalent to 20 per cent of average energy billed in February.
NERC said prepaid customers would receive token credits, while postpaid customers would benefit from bill adjustments.
The commission directed electricity distribution companies to complete February compensation payments by May 31 and conclude March compensation by June 30, 2026.
It further prohibited DisCos from using compensation credits to offset existing customer debts.
“Customers must be clearly informed of the value and period of compensation received,” NERC added.
The regulator pledged to monitor compliance to ensure all eligible consumers receive their entitlements as the sector continues to recover from recent generation challenges.
