NERC Unleashes N21 Billion Boost: 7 Million Nigerians to Receive Electricity Meters

The Nigerian Electricity Regulatory Commission (NERC) has approved N21 billion for Distribution Companies (DisCos) to deploy meters to customers within 60 days. This move aims to bridge the significant metering gap in the Nigerian Electricity Supply Industry (NESI), which currently exceeds 7 million customers. The deployment of funds under the Meter Acquisition Fund (MAF) scheme is expected to accelerate the deployment of meters and close the current metering gap.

The metering gap has resulted in significant challenges for both DisCos and customers, including estimated billing and revenue loss. The deployment of meters is expected to reduce commercial and collection losses for DisCos, enhance quality of service, and improve customer satisfaction. The MAF scheme is part of the Multi-Year Tariff Order, which determines the tariffs customers pay.

NERC: Metering Gap Exceeds 7 Million Customers

The Nigerian Electricity Supply Industry (NESI) is facing a significant metering gap, with over 7 million customers without meters. This gap has resulted in estimated billing and revenue loss for DisCos, as well as frustration for customers who are unsure of their energy consumption. The deployment of meters is expected to bridge this gap and provide accurate billing and energy consumption data for customers.

The metering gap is attributed to the inability of DisCos to raise financing for meter deployment. The MAF scheme is designed to address this challenge by creating a credible revenue stream from the market funds. The scheme is expected to accelerate the deployment of meters and close the current metering gap.

NERC Orders DisCos to Deploy Meters within 60 Days

The Nigerian Electricity Regulatory Commission (NERC) has ordered Distribution Companies (DisCos) to deploy meters to customers within 60 days. This order is part of the Meter Acquisition Fund (MAF) scheme, which aims to bridge the metering gap in the Nigerian Electricity Supply Industry (NESI). DisCos are expected to utilize the funds approved by NERC to procure and install meters for unmetered customers.

The deployment of meters is expected to be completed within 60 days from the date of approval of the process by NERC. DisCos are required to conduct a transparent and competitive procurement process for meter price determination, selection, and engagement of Meter Asset Providers (MAPs)/Local Meter Manufacturers and Assemblers (LMMAs).

NERC: DisCos to Utilize MAF Funds for Meter Deployment

Distribution Companies (DisCos) are expected to utilize the funds approved by the Nigerian Electricity Regulatory Commission (NERC) under the Meter Acquisition Fund (MAF) scheme for meter deployment. The funds will be apportioned pro-rata to contributions by DisCos as Tranche A of the MAF scheme. Ikeja Disco will receive the lion’s share of N4.35 billion, followed by Abuja Disco with N2.99 billion.

Other DisCos will receive funds as follows: Eko Disco (N2.92 billion), Ibadan Disco (N2.51 billion), Enugu Disco (N1.72 billion), Kano Disco (N1.58 billion), Benin Disco (N1.57 billion), Port Harcourt Disco (N1.36 billion), Kaduna Disco (N1.22 billion), Jos Disco (N521 million), and Yola Disco (N243.3 million).

NERC: Meter Deployment to Enhance Customer Satisfaction

The deployment of meters is expected to enhance customer satisfaction by providing accurate billing and energy consumption data. Customers will no longer be subjected to estimated billing, which has been a source of frustration for many. The deployment of meters will also reduce commercial and collection losses for DisCos, enhance quality of service, and improve customer satisfaction.

The meter deployment is part of the Presidential Metering Initiative (PMI), which aims to close the metering gap in the Nigerian Electricity Supply Industry (NESI) within three years. The PMI is leveraging on smart metering technologies for data analytics.

NERC Monitors Meter Deployment Progress

The Nigerian Electricity Regulatory Commission (NERC) will monitor the progress of meter deployment by Distribution Companies (DisCos). NERC has ordered DisCos to submit a report containing details of the process undertaken for the selection of Meter Asset Providers (MAPs)/Local Meter Manufacturers and Assemblers (LMMAs), including meter price, meter specifications, and the list of customers to be metered.

NERC will review the reports and ensure that the meter deployment is completed within the stipulated 60-day period. The commission will also ensure that the meters are installed at no cost to the customers, as specified in the MAF scheme.