Electricity: Tackling ‘Estimated Billing’ Fraud

In this special report, fourth of five –part, Andrew Airahuobhor, Bamidele Ogunwusi, Oyeniran Apata, Nkasiobi Uluikpe and Akinwumi King, investigates how, after  the privatization of Power Holding Company of Nigeria (PHCN), the only result Nigerians have received till date is the issuance of outrageous bills by all the electricity distribution companies, coupled with unreliable power supply.

Consumers’ experiences

At the mention of electricity supply to homes and factories in Nigeria, it had become a nightmare many Nigerians would not want to discuss. Non availability and supply to consumers has forced many individuals and organisations to invest huge sums of money in the generation of alternative supply to homes and drive machines.

Consumers protesting over crazy bill

Many young entrepreneurs and artisans have been thrown out of business due to non-availability of electricity supply in the country that crippled their trade.

In the market, many Nigerians whose business interest and survival -like hairdressers, iron benders, frozen foods dealers, and sundry traders- rest on electricity, have closed shop one after the other.

The academic environment too is not spared as school owners compelled by the need to keep the school running must provide electricity and have reviewed tuition fee upwards in order to make up for the huge expenses of maintaining an alternative source of electricity.

Students in the public school sector beginning from the basic, secondary and tertiary also felt the pang as teachers and school managers were forced to skip courses and programme that use of electricity for practical classes.

Apart from the machines and computers that are kept idle and un-utilised due to non-supply of electricity, many of the overcrowded classroom soon becomes unbearably hot under the scorching afternoon sun.

As it is with corporate organisation where it is now fashionable for spaces and stalls to be reserved for electricity generating sets of different capacity, the situation in most tertiary institutions and homes were not in any way different.

 

Tertiary Institutions Without Electricity

Speaking with Daily Independent on the issue as it affects tertiary institutions, Provost, Federal College of Education, Technical, Akoka (FCETA), Dr. Sijibomi Olusanya painted a gloomy picture of the supply pattern and described the process as abnormal.

He said the situation had not improved thus forcing the institution to expend huge sums of money for the sustenance of the generating and pay for electricity that was never supplied by the approved operator in the area.

“It has not improved at all. They supply electricity just for few hours in a day. In a month, hours of supply for 30 days most times does not exceed a week in all. Yet they bring crazy bill of N1.2million averagely per month,” he said.

Lamenting huge spending on alternative source of energy, Dr. Olusanya said every two weeks, the institution purchases about 10,000 litres of diesel amounting to N1.9million in order to keep the school machines and facilities running as a technical college.

On measures taken to cut back on the energy consumption he said all street lights within the length and breadth of the campus run solar energy that was well maintained by the college annually.

“Also we have a classroom reserved for students to read at night and it runs on solar powered devices and inverters. It runs 24/7 alongside the Information Communication Technology laboratory. The hostel enjoys electricity supplies from 8pm to 10pm and extended till 12 mid night during examination periods. In the morning it runs from 6am to 8pm to enable students have water and prepare for classes.”

Proffering solutions to the precarious nature of electricity generation that had defied solutions, Dr. Olusanya said that meters should be provided and made to be pay as you use.

He added that existing meters were such that gives room for manipulations by officials who read meters and do the billing, contending that what they return at the end of the month were spurious reading and unimaginable electricity consumption charges.

Speaking further, he suggested that Government should make sure that priority is given to institutions of learning. “For instance at this technical college there is no way any course can be taught without electricity supply because we have practical s in every course.

“These are structured courses with allotted periods that must be covered by every individual student. And if because electricity is not available and lecturers are not able to teach and conduct practical in a given course, you will find out that throughout their studies, students will not be able to attend practical classes and as such this is not good for effective leaning.

“We have four big generators that must be on for practical classes. We know the consequence of this in order not to produce incompetent technical graduates. This is the situation here and I am sure it also affects so many institutions too. Government should make supply to schools constant and subsidised.

Vice Chancellor, Covenant University, Ota, Ogun State, Professor Charles Ayo lamented the poor electricity supply to the institution, arguing that the University had been using alternate arrangement in order to keep the system running.

Professor Ayo expressed disappointment at the hardship epileptic electricity supply had inflicted on millions of Nigerians struggling to make a living through handwork.

However, he stated that the university would soon complete works on its internal source of electricity in order to sustain the high profile of the university and pursuit of its mission to be the first in Nigeria, first in Africa within ten years.

 

Transparent Billing System Canvassed

Mr. Lucky Oha, a Lagos resident, lamented the exploitative billing pattern, called for a transparent billing system that will see consumers taking their meter reading in conjunction with PHCN.

According to him, his area in Wilmer Crescent, Olodi-Apapa at Ajeromi-Ifelodun Local Government was without electricity for about three months, between January and March 2013, yet, Ikeja Electric officials still billed him and even increased his bills.

He said, “Ikeja Electric officials brought bills for January which we paid for; but they did not bring bills for February, maybe because they were afraid they would be attacked, especially as they did not supply electricity to the area throughout the month of February.

“In March, they restored power to the area for about one week, giving them an excuse to distribute bills to consumer. When we got the bills, our amount payable almost quadrupled from about N3,500 to almost N12,000.

“When we went to complain, we were told they added the cost for the month of February. This was in spite of the fact that we were in darkness throughout the month of February.”

He expressed sadness at the manner at which the company‘s officials treat consumers and the rate at which it bill customers, without recourse to consumption.

Another customer, Mr. David Adonri, said he is currently being owed about N85,800 by the company , due to an overcharge of about 9,800 units of electricity he said he did not consume.

According to him, the overcharge is due to the difference between PHCN’s officials’ estimated meter readings and his actual meter readings since 2008.