The Nigerian Electricity Regulatory Commission (NERC) has announced the allocation of N21 billion to 11 electricity Distribution Companies (DisCos) to provide free meters to customers.
According to the Commission, the DisCos will purchase and install the meters for customers under the Meter Acquisition Fund (MAF) at no charge.
This information is detailed in NERC’s order no: NERC/2024/072 on The Operationalisation of “Tranche A” of the Presidential Metering Initiative Under the Framework of Meter Acquisition Fund.
The order states, “The Commission hereby approves the use of a sum of NGN21, 000,000,000 apportioned pro rata to contribution by the DisCos as Tranche A of the MAF scheme. Attached to this order as schedule one is a breakdown of the funds available for each DisCo for the purchase of end-use customer meters.
“All the meters to be procured and installed under the MAF framework shall be at no cost to the customers of the DisCos.”
The order, signed by NERC chairman, Engr. Sanusi Garba, and the commissioner (Legal) on January 19, 2024, will take effect on June 13, 2024, and may be amended or revoked by subsequent orders issued by the commission.
NERC had previously introduced the Meter Asset Provider (MAP) Regulations in 2018, and later, the Meter Asset Provider and National Mass Metering (MAP&NMMR) Regulations in 2021 to tackle metering issues in the Nigerian Electricity Supply Industry (NESI).
The Meter Acquisition Fund (MAF) was developed and approved by the Commission to address the challenge of DisCos’ creditworthiness, which inhibits the deployment of end-use meters in NESI. This scheme creates a credible revenue stream from market funds, enabling the utilities to secure long-term financing.
NERC stated that the management of the Fund Manager (FM) is based on terms and conditions negotiated by the DisCos and approved by the Commission.