FCCPC finds IKEDC guilty of corrupt overbilling in Lagos, orders refund and warns of sanctions over inflated electricity debts

FCCPC finds IKEDC guilty of engaging in corrupt and exploitative billing practices after an investigation into the inflated electricity charges imposed on residents of Abesan Estate, Ipaja, in Lagos.

Also read: Lagos issues electricity distribution licences to new firms

The Federal Competition and Consumer Protection Commission (FCCPC) delivered its verdict following a mediation session held at its Ikeja office on October 23, where both parties were invited to resolve the long-running billing dispute.

Residents of the apartment building had petitioned the FCCPC after Babajide Ososanya, a marketing officer with the Ikeja Electric Distribution Company (IKEDC), allegedly inflated their electricity bills when they refused to pay him a bribe. The petition sparked an official inquiry into the company’s conduct and billing systems.

One of the residents, identified as Anike Starmer, described the experience as shocking and disheartening.

She said the session revealed that many other consumers had also filed complaints against IKEDC for similar exploitative practices.

“I discovered that 90% of the disputes that were addressed that day were prepaid meter-related. I was shocked because I thought prepaid meters would eliminate overbilling,” she said.

During the hearing, the FCCPC panel found that the meters at the residence were fully functional and untampered.

The overbilling, it ruled, originated from IKEDC’s internal feeder error rather than any wrongdoing by the tenants.

The commission directed the company to remove arbitrary debts of ₦463,845, ₦244,362, and ₦218,030 imposed on the residents’ prepaid meters, stressing that consumers should not bear the cost of IKEDC’s technical or internal failures.

It further warned that the power distribution company would face regulatory sanctions if it failed to comply with the directive.

The FCCPC’s decisive intervention marks a powerful statement against corruption in Nigeria’s energy sector, where consumers have long complained about exploitative billing and systemic inefficiency.

This case follows FIJ’s earlier report that detailed how the IKEDC official inflated electricity charges after his demand for a bribe was rejected by the tenants in April.

The residents were later blocked from buying electricity tokens, and arbitrary debts appeared on eight of the 14 prepaid meters in the building.

When the residents sought a resolution at the IKEDC Akowonjo office, they were reportedly asked to pay a ₦120,000 penalty before power would be restored. Despite several letters and emails, the company failed to respond until the FCCPC stepped in.

By finding IKEDC guilty, the FCCPC has reinforced public trust in consumer protection mechanisms and sent a strong warning to other service providers that corruption and overbilling will no longer be tolerated.

Also read: Eko electricity distribution company denies takeover

The ruling not only restores justice for the affected tenants but also highlights the Commission’s renewed resolve to uphold transparency, fairness, and accountability across Nigeria’s power sector.