The Federal Competition and Consumer Protection Commission (FCCPC) has backed recent moves by the Lagos State Electricity Regulatory Commission (LASERC) to curb estimated electricity billing and strengthen consumer protection within the state’s power sector.

In a statement issued on Tuesday, the FCCPC commended LASERC’s position in the 2025 Lagos Electricity Market Report supporting stricter enforcement against electricity supply without meters and the phased rollout of universal smart metering across Lagos State.

The Lagos electricity regulator is currently pursuing reforms aimed at improving billing transparency, service delivery and consumer protection in the state’s electricity market.

The measures include compulsory metering to be enforced in phases beginning from 2026, feeder-by-feeder deployment of smart meters, tighter oversight of electricity distribution companies, improved complaint resolution mechanisms and sanctions against non-compliant operators.

FCCPC Executive Vice Chairman and Chief Executive Officer, Tunji Bello, described the reforms as a significant step towards addressing one of the most persistent complaints among electricity consumers in Nigeria.

“Estimated billing remains one of the leading sources of consumer complaints within Nigeria’s power sector,” Mr Bello said.

He added that, “Measures that accelerate metering and improve billing transparency are important to consumer protection and overall market accountability.”

Estimated billing, where consumers are charged based on projected electricity usage rather than actual consumption recorded through prepaid or smart meters — has long generated disputes between electricity distribution companies and consumers across Nigeria.

Many households and businesses have repeatedly accused distribution companies of arbitrary billing, excessive charges and lack of accountability, especially in areas with poor electricity supply.

Mr Bello said consumers should not be subjected to unfair or unverifiable billing practices, particularly where electricity consumption cannot be accurately measured.

“Effective metering promotes fairness within the electricity market. It supports accurate billing, reduces disputes, improves accountability, and gives consumers greater confidence in the system,” he said.

The FCCPC also urged other state electricity regulators and subnational governments implementing electricity market reforms to adopt similar consumer-focused measures.

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According to the commission, reforms around transparent metering systems, improved complaint resolution and stronger service standards are critical to rebuilding consumer trust and improving electricity service delivery nationwide.

The agency further called on electricity distribution companies and other operators within the power sector to cooperate fully with ongoing metering initiatives and service quality reforms introduced by regulators.

The FCCPC noted that findings contained in the LASERC report also highlighted persistent service delivery gaps, consumer complaint challenges and electricity supply issues affecting Lagos residents.

It said the findings underscored the need for stronger consumer safeguards, sustained infrastructure investment and improved operational accountability within the electricity sector.

The commission reaffirmed its commitment to supporting reforms aimed at improving transparency, accountability and consumer protection across Nigeria’s electricity market through continued engagement with regulators and other stakeholders.