The Nigerian Electricity Regulatory Commission, NERC has approved N21 billion for the 11 Electricity Distribution Companies, DisCos to provide meters for end-use customers at no cost to address the significant metering gap of over seven million.
According to a document released on Friday by NERC, the Commission lamented DisCos inability to secure financing for meter acquisition and deployment.
To tackle this, NERC developed the Meter Acquisition Fund, MAF scheme, which will provide a credible revenue stream for long-term financing.
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The DisCos have been ordered to utilise the first tranch of the MAF scheme to procure and install meters for unmetered Band ‘A’ customers. They must conduct a transparent procurement process within 14 days and submit a report to NERC for approval within 20 days.
Upon approval, the DisCos will enter into contracts with selected Meter Asset Providers, MAPs or Local Meter Manufacturers Association,LMMAs with milestone payments tied to contract completion.
This development aims to bridge the metering gap and enhance revenue generation in the Nigerian Electricity Supply Industry, NESI.
(Editor: Terverr Tyav)