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NERC approves N30 billion fund for free electricity meters, sets May 2027 deadline for completion of installation under Tranche C

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TUE NOV 10 2026-theGBJournal| Nigeria’s electricity regulator has approved ₦30 billion for the third phase of its metering programme, requiring distribution companies to provide free meters to unmetered customers, particularly those on Band A and Band B, as part of efforts to close the country’s metering gap.

The Nigerian Electricity Regulatory Commission (NERC) said the funding, under Tranche C of the Meter Acquisition Fund (MAF), would be shared among the country’s 11 electricity distribution companies (DisCos) in proportion to their respective contributions to the fund.

In an order effective from Nov. 2, 2026, the commission directed the DisCos to prioritise all remaining unmetered Band A customers while accelerating meter deployment to Band B customers.

The initiative is part of the Presidential Metering Initiative, which seeks to expand electricity metering, improve billing transparency and protect consumers from estimated billing.

NERC said the distribution companies must ensure equitable allocation of meters across states within their respective franchise areas.

For electricity consumers, the commission emphasised that meters supplied and installed under the programme must be provided free of charge, warning against any attempt by distribution companies or their agents to collect payment for the devices.

“All meters supplied and installed under the MAF programme shall be provided FREE OF CHARGE to customers,” the commission said.

To prevent diversion and unauthorised sales, every meter supplied under the programme must prominently display the name of the relevant distribution company, the applicable MAF tranche and the inscription “NOT FOR SALE”.

The order also provides that where a DisCo initiates the relocation of an existing customer’s connection point for revenue protection purposes, the cost must be borne by the company rather than the consumer.

Under the new framework, DisCos are required to conduct transparent procurement processes involving eligible Local Meter Manufacturers and Assemblers (LMMAs) and Meter Asset Providers (MAPs) with verified meter stocks.

NERC has also prescribed maximum procurement prices based on the median national MAP online bid prices recorded during the September 2026 bid cycle.

Payments to selected meter providers will be made in two stages, with 70 per cent released after verification of meter delivery and the remaining 30 per cent paid after confirmation that installation has been completed.

The commission said the arrangement was designed to strengthen accountability and ensure that payments were tied to the actual delivery and installation of meters.

It also warned that distribution companies could face sanctions where their defaults or actions impede the installation process.

The order requires the Fund Manager, DisCos and participating meter providers to comply with monitoring, reporting and evaluation provisions. All supply and installation contracts must also be filed with the commission.

NERC set May 31, 2027, as the deadline for completing all meter installations under Tranche C.

The latest allocation represents another phase of the government’s efforts to address Nigeria’s persistent metering deficit, which has left many electricity consumers dependent on estimated billing.

By prioritising unmetered Band A customers and extending coverage to Band B, the commission is seeking to improve billing accuracy while strengthening consumer protection and revenue assurance across the electricity market.

NERC urged all stakeholders to comply with the order, saying the initiative was aimed at closing the national metering gap, improving service delivery and safeguarding electricity consumers.

X-@theGBJournal|email:gbj@govbusinessjournal.com|govandbusinessj@gmail.com

 

 

 

 

 

 

 

 

 

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