Home Business Insights FCCPC Orders IBEDC to Refund Consumers for Transformers, Poles, and Cables

FCCPC Orders IBEDC to Refund Consumers for Transformers, Poles, and Cables

by Radarr Africa

The Federal Competition and Consumer Protection Commission (FCCPC) has directed the Ibadan Electricity Distribution Company (IBEDC) to begin refunding consumers who have paid for transformers, poles, cables, and other network infrastructure used in providing electricity to their communities.

This directive was given during the FCCPC’s Electricity Consumer Forum held in Ota, Ogun State, where the commission’s Executive Vice Chairman, Mr. Tunji Bello, was represented by Mrs. Bridget Etim. She stated clearly that it is not the responsibility of electricity consumers to provide capital infrastructure for power distribution and any such contributions must be compensated by the DisCo.

“Consumers are not supposed to buy transformers or any other distribution asset. If they do, the investment must be refunded—either in cash or through energy credit,” Etim said firmly at the event, interrupting attempts by IBEDC to shift the blame to affected communities.

During the forum, community leaders from various areas within Ado-Odo/Ota Local Government Area lamented long-standing neglect by IBEDC. Mr. Olatunji Onaolapo, Zonal Chairman of the Community Development Committees (CDC), revealed that in Itele-Ota alone, residents had purchased over 80 transformers without any financial support from the DisCo.

“IBEDC has never bought a single one. We even pay to energise the transformers. We write letters, we beg for installations—they don’t respond,” he said.

Responding to the complaints, Abdulrasaq Jimoh, IBEDC’s representative in Ogun State, claimed that the communities failed to inform the Nigerian Electricity Regulatory Commission (NERC) before making these investments.

But Etim rejected this argument outright. She said it was the responsibility of the DisCo—not the communities—to escalate such investments to the appropriate regulatory bodies like NERC or FCCPC.

She cited a recent example involving Jos Electricity Distribution Company, which refunded customers who invested in their network without needing direct intervention from regulators.

“IBEDC must learn from Jos DisCo. Consumers don’t need to write NERC. Once you are aware of the investment, it is your duty to escalate it,” Etim insisted. “For every investment made by communities moving forward, proper documentation and refund—either financial or energy credit—must be ensured.”

She further advised consumers to formally notify the FCCPC when planning to invest in electricity infrastructure to ensure proper records are kept and refunds are guaranteed.

The consumer forum, held in Ilogbo, Oju-Ore area, was part of a three-day event convened under Sections 17, 127, 130, and 151 of the FCCPC Act, 2018. It aimed to close the gap between electricity consumers and service providers by providing an avenue for real-time grievance resolution and education.

Quoting the commission’s Executive Vice Chairman, Mrs. Etim explained that “Electricity is not just a product—it is essential to livelihoods and economic progress.” She acknowledged persistent problems in the sector such as poor metering, wrong billings, and inadequate infrastructure, and stressed the need for fairness, transparency, and accountability in the treatment of consumers.

At the end of the session, IBEDC officials in attendance were mandated to address consumers’ complaints on the spot, with some resolutions reportedly achieved immediately.

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