FCCPC Seals Ikeja Electric Office Over Alleged Consumer Rights Violations

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The Federal Competition and Consumer Protection Commission (FCCPC) has sealed an Ikeja Electric office over what it described as persistent violations of consumer rights and repeated refusal to comply with regulatory directives. The enforcement action, carried out on Thursday, followed months of unresolved disputes between Ikeja Electric and a customer whose property has been without power supply for more than two and a half years.

The operation was led by Engr. Idayat Olorungbebe, who represented the FCCPC’s Director of Surveillance and Investigation, Mrs. Bola Adeyinka. According to Olorungbebe, the Commission moved to seal the premises only after Ikeja Electric allegedly failed to obey a binding order earlier issued by the Nigerian Electricity Regulatory Commission (NERC).

The case has drawn heavy attention, as it touches on the long-running challenges many Nigerians face with electricity distribution companies, including billing disputes, metering delays, and poor customer service.

Olorungbebe explained that Ikeja Electric’s troubles began when it refused to implement a clear directive issued by NERC. The directive instructed the company to separate a Maximum Demand (MD) account into 20 individual non-MD accounts — one for each of the 19 residential units owned by the complainant, plus one additional account for the service connection.

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Maximum Demand customers are usually large consumers of electricity, such as factories or large commercial premises, whose billing is calculated differently from regular household users. The customer in question, however, owns residential units, which regulators say should not fall under the MD category.

Despite this, Ikeja Electric allegedly kept the property under a single MD account, making proper billing and supply impossible. As a result, the property has remained without electricity for more than two years, leaving the 19 residential units uninhabitable.

According to the FCCPC, the complainant had fulfilled all required payments and followed every procedure laid out by the company, yet still received no power supply.

The Commission stated that it held several meetings with Ikeja Electric, issued formal letters, and later served a Compliance Notice in October 2025 with a seven-day ultimatum. However, the company allegedly still refused to implement the NERC directive.

Under Sections 17, 18, 124, 150, and 155 of the Federal Competition and Consumer Protection Act (FCCPA) 2018, the FCCPC has the legal authority to intervene and enforce compliance where consumer rights have been violated or where service providers obstruct access to essential services.

Olorungbebe said the Commission acted only after exhausting all options for voluntary compliance.

“We took a measured step after giving multiple opportunities for correction,” she explained. “The company repeatedly failed to act, and the rights of the consumer continued to be violated.”

During the enforcement operation, officers sealed the office but deliberately exempted the control room. According to the FCCPC, this exemption was necessary to prevent disruptions in the electricity supply of other customers within the Ikeja Electric network.

“We are mindful of the impact of our actions on innocent consumers,” Olorungbebe said. “This measure is targeted at enforcing compliance, not at punishing the public.”

She added that the seal would remain until Ikeja Electric fully complies with both NERC and FCCPC directives and provides verifiable evidence of doing so.

The dispute between FCCPC and Ikeja Electric reflects broader issues in Nigeria’s electricity sector, which has struggled with inadequate supply, poor customer service, and regulatory conflicts since the privatisation of power distribution in 2013.

Many consumers complain about delayed metering, estimated billing, and lack of accountability from distribution companies (DisCos). Cases involving the MD tariff classification — where residential consumers are mistakenly placed on high-tariff accounts intended for large commercial users — have led to multiple disputes across several states.

Regulators have repeatedly warned DisCos against such practices, saying they amount to overbilling and unfair treatment of consumers.

NERC, the primary regulator for the electricity market, has also issued several orders in recent years requiring DisCos to separate MD and non-MD customers, prioritise proper metering, and handle complaints promptly.

However, enforcement has been uneven, and consumers continue to report long delays in getting resolutions to their complaints.

The FCCPC highlighted that it will not tolerate any actions that violate consumer rights or obstruct access to essential services. Olorungbebe said the Commission is prepared to take firm regulatory steps where service providers fail to comply with the law.

“The Commission remains committed to safeguarding consumer rights,” she said. “We will not hesitate to act against any organisation that disregards regulatory directives or denies consumers the services they are entitled to.”

She added that the Commission expects Ikeja Electric to resolve the issue without further delay.

As at the time of filing this report, Ikeja Electric had not issued an official statement responding to the sealing of its office. Industry observers say the company is likely to engage with regulators in the coming days to avoid prolonged disruptions to its operations.

The electricity distributor serves a large portion of Lagos State, including major residential, commercial, and industrial zones. Any long-term regulatory action could affect the company’s reputation and raise more questions about how DisCos handle consumer complaints.

The FCCPC says the sealed office will remain closed until Ikeja Electric completes all required steps:

Splitting the MD account into the 20 required non-MD accounts

Properly metering each of the 19 residential units

Providing evidence of compliance to both NERC and the FCCPC

Until then, regulators say the matter remains open and under active monitoring.

The case is expected to become a reference point in future disputes between electricity consumers and distribution companies, especially as Nigerians continue to demand fair treatment, stable supply, and better customer service from operators in the country’s struggling power sector.

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