Nigeria's electricity regulator has greenlit compensation for Band A customers hit by power cuts in early 2026. The Nigerian Electricity Regulatory Commission made the move in response to severe generation shortfalls.
Between February and March last year, distribution companies couldn't deliver promised power levels to some Band A clients. Gas supply problems and vandalism of key infrastructure were to blame, NERC said.
Prepaid customers will get token credits as compensation. Postpaid customers will see adjustments on their bills instead.
According to NERC, February 2026 payouts must be completed by May 31. March compensation has a June 30 deadline.
Distribution firms cannot use these credits to wipe out customer debts. Customers must receive clear notices about compensation amounts and timelines, the regulator added.
Feeders supplying between 18 and 20 hours daily fall under existing compensation rules. Both standard and maximum demand customers qualify under that framework.
Feeders with less than 18 hours of daily supply get special treatment. Band A customers on these lines won't face service downgrades during the covered period.
Non-maximum demand customers on affected feeders receive 20% of the approved February 2026 energy cap for their area. Maximum demand customers get 20% of their average February 2026 energy bill.
NERC noted it remains focused on protecting consumers while keeping the electricity market stable. The commission will monitor how distribution companies implement the scheme.
Verification of compliance will ensure all eligible customers receive what they're owed. A NERC statement confirmed the agency's ongoing commitment to these goals.
