Nigeria?s power sector is facing renewed scrutiny as recent data show that electricity metering has dropped to a four-year low, contradicting the federal government?s claims of significant improvements in meter distribution.

Data gleaned from the Nigerian Electricity Regulatory Commission (NERC) revealed that the power sector installed 547,436 meters in 2024 out of the targeted 800,000, indicating a 68 percent installation rate.

Adebayo Adelabu, minister of power, had previously stated that over 572,050 meters had been deployed under the National Mass Metering Programme (NMMP), significantly reducing the metering gap.

According to Bolaji Tunji, special adviser, strategic communications and media relations to the minister of power, metering installations have been progressing steadily.

Consumers bear brunt

With over seven million households still on estimated billing, the metering shortfall leaves many Nigerians at the mercy of arbitrary charges from Distribution Companies (DisCos).

?How can the government claim progress when we?re seeing fewer meters being installed?? asked Chinedu Okeke, a Lagos-based consumer rights activist. ?This lack of transparency is why many Nigerians distrust the power sector reforms.?

Adetayo Adegbemle, convener and executive director of PowerUp Nigeria, said that information provided by the government in recent times has been mere rhetoric.

?The government needs to be sincere about these policies and their implementation. But I would rather the government sit out on such policies like metering and just ensure the private sector handles it.

?Even the World Bank-sponsored NMMP Phase 2, which was promised to be done in the the first quarter (Q1) of 2025, hasn?t seen the light of day,? Adegbemle said.

NERC?s report

A further analysis of the NERC reports shows that despite various interventions in recent times, meter installations have failed to meet the record high of 828,284 achieved in 2021.

For context, this is a 34 percent decline since 2021 at a point the country is expected to scale up to meet growing demand and eradicate estimated billings.

The sharp decline not only marks the lowest annual installation in the last four years but also raises fresh concerns over the ability of power sector reforms to deliver meaningful change to millions of Nigerians still without prepaid meters.

Meter installation for all frameworks

Since the privatisation of the power sector in 2013 by the Nigerian government, selling off majority stakes in generation and distribution companies to private investors, many interventions have been established to drive metering.

BusinessDay found that these interventions include the Credited Advance Payment for Metering Implementation (CAPMI), National Mass Metering Programme (NMMP), Meter Asset Providers (MAP) schemes, and Vendor and Distribution Companies (DisCos) Financed frameworks, among others.

However, as of December 31, 2024, only 6.29 million out of the 13.5 million registered electricity customers across the twelve (12) DisCos were metered, indicating a poor 46.57 percent metering rate.

FG expects 3.2 million meters

In the same statement, Tunji, earlier quoted, revealed that the federal government is expecting the first batch of 3.2 million meters to be set for delivery starting in April 2025.

He said the first consignment of 75,000 meters under the International Competitive Bid 1 (ICB1) will arrive in April 2025, followed by an additional 200,000 meters in May.

Tunji emphasised that while challenges remain, significant progress has been made, with over 5.5 million customers?about 55 percent of the 10.1 million active electricity users?already metered as of December 2024.

Steady progress amid challenges

Tunji acknowledged the existing gap but stressed that structured financing and government-backed programmes are set to accelerate progress.

?The narrative that Nigeria?s metering gap will take over a decade to resolve is misleading,? Tunji stated. ?With the current interventions, we expect significant improvements before the end of the year.?

Key initiatives driving metering expansion

To fast-track meter deployment, the federal government has launched two major programmes: the Distribution Sector Recovery Program (DISREP) and the

The Distribution Sector Recovery Program (DISREP) and the N700 Billion Presidential Metering Initiative (PMI).

DISREP aims to deliver 3,205,101 meters by 2026 through three procurement models: 1,437,501 meters via ICB1, 217,600 via NCB, and 1,550,000 via ICB2. The first batch of 75,000 meters (ICB1) will arrive in April, followed by 200,000 more in May.

On the other hand, the N700 Billion Presidential Metering Initiative (PMI), funded by the Federation Account Allocation Committee (FAAC), targets two million meters yearly for five years. An SPV will oversee implementation, with the tender for the first two million meters expected by the third quarter (Q3) of 2025. (BusinessDay)

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