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IBEDC losing ₦1.8 billion monthly
- Capped estimated billing to blame
- Begins SRT implementation
The Managing Director (MD) Ibadan Electricity Distribution Company (IBEDC), John Ayodele has, decried the effects of capping estimated billing on the sector. He made this known in an interview with the News Agency of Nigeria (NAN).
In his interview, he explained that contrary to the believe, Distribution Companies (DisCos) benefit from estimated billing, they lose more. He further explained that capping estimated billing has a negative impact on the entire sector and not just the DisCos. Ayodele said, “We were not out to steal money from our customers and the capping method, as approved by the Nigerian Electricity Regulatory Commission, doesn’t pay us”.
On the effects of capping estimated billing, he said: “As a result of capping, IBEDC is losing more than ₦1.8 billion every month for the energy delivered because those on capping do tell us that they don’t need meters because the capping is cheaper for them”. According to him, estimated billing means a consumer uses as much energy as he/she wants. A capped bill, therefore, means a consumer uses as much energy as possible without paying for it in full.
Speaking on the implementation of the Service Reflective Tariff (SRT), Ayodele assured of IBEDC’s effort in ensuring accurate tariff classification.
IBEDC began the implementation of the new SRT on 1st November 2020.