NERC and estimated billing

In the last couple of months, electricity supply has been generally poor on account of increase in vandalism in the run up to the April 2015 elections. But this bad supply condition has worsened.At present, 18 out of the 23 power plants in the country are unable to generate electricity due shortage of gas supply […]

In the last couple of months, electricity supply has been generally poor on account of increase in vandalism in the run up to the April 2015 elections. But this bad supply condition has worsened.
At present, 18 out of the 23 power plants in the country are unable to generate electricity due shortage of gas supply to the thermal plants with one of the hydro stations faced with water management issue. This has led to loss of over 2,000megawatts in the national grid.
Furthermore the company was said to have tripled its customer’s bills issued in September 2014. The firm initially asked for more time to answer and respond to answer and the allegations and a time extension was granted, however they have stilled failed to provide an answer. According to NERC the firm is therefore guilty of failing to forward a report of the estimated billing as provided for under section 9 of the Methodology for Estimated Billing Regulation 2012. As a result AEDC is expected to take up spaces in national newspapers to tender an apology to its customers.
To be frank the whole issue of estimated billing has become a sharp business practice which reduces the cost of employing meter readers while at the same time increasing revenue beyond what is actually consumed.  With regard to metering actual consumption it is noticeable that the distribution of pre-paid meters had slowed down.  Designed to bring about an end to estimated bills, they were initially expected to be provided “free” with the customer later offsetting the cost. Now the meters cost tens of thousands and landlords are not disposed to buying them, nor distribution companies to selling them. 
The truth is that the power generating companies are at a loss for how to cover their costs and make profit in light of their inability to provide any appreciable level of “constant” electricity, and estimated billing has become a large part of their budget process.  The whole issue is a continuing major source of conflict between power distribution companies and their customers. In many instances such bills are sent to the customer even when the power distribution company knows full well that the transformer in the area is not functional and there has not been light for weeks!
The AEDC is to report back to NERC within two months over its compliance with the sanctions. However as a lasting solution to the problem it is quite clear that the metering program must be pursued vigorously.  The power distribution companies must adopt better business ethics. Whatever problems they are facing it is inconceivable that they were not foreseen before the privatization exercise. Their behaviour was bordering on criminal and the sanctions need to be strengthened to reflect this.