Nigerian Power Utility Bars Prepaid Recharges Below $6.50, Sparking Public Outrage

A new policy by the Ibadan Electricity Distribution Company (IBEDC), one of Nigeria’s major electricity providers, has sparked widespread backlash after it barred customers from recharging prepaid electricity meters for less than 5,000 naira (approximately $6.50). The controversial measure, first reported by News Express, has left many Nigerians struggling to cope with the higher upfront cost amid ongoing economic challenges.

The policy, introduced earlier this month, affects millions of customers across IBEDC’s operational area. Previously, consumers could purchase prepaid credits in smaller increments, with some recharging for as little as 1,000 naira ($1.30) at a time to match their daily income and expenses.

“I don’t earn much, and this new rule means I can’t recharge my meter whenever I have a little extra money,” said Temidayo Johnson, a hairdresser in Ibadan. “For people like me, 5,000 naira is a lot of money to come up with all at once.”

IBEDC has defended the policy, arguing that it is intended to streamline operations and improve customer service by reducing the frequency of smaller transactions. “This is a step toward making our system more efficient,” a company spokesperson said, though they did not provide specifics on how the change benefits customers.

However, consumer rights advocates have criticized the move, calling it unfair to low-income households in a country where poverty remains a pressing issue. According to the World Bank, more than 40% of Nigerians live below the poverty line, and many rely on daily wages that make large lump-sum payments difficult.

“This policy places an unnecessary burden on the most vulnerable,” said Adebola Ogunleye, an energy policy analyst in Lagos. “It shows a lack of understanding of the financial realities of the average Nigerian.”

The measure also raises questions about regulatory oversight in Nigeria’s troubled power sector, which has long been marred by inconsistent service, frequent outages, and opaque billing practices. The Nigerian Electricity Regulatory Commission (NERC), the government agency tasked with overseeing the sector, has yet to issue a response to the growing public outcry.

Meanwhile, social media platforms have been flooded with criticism, with many calling for an immediate reversal of the policy. “People are barely surviving, and now they’re being asked to do the impossible just to keep their lights on,” one user wrote on Twitter.

As customers navigate the new rules, the fallout underscores broader frustrations with Nigeria’s electricity sector, where consumers are often left feeling powerless in the face of rising costs and poor service.