•Set to sanction defaulting power utilities 

•Ikeja, Eko, Ibadan Discos get lion’s share

Emmanuel Addeh in Abuja

The Nigerian Electricity Regulatory Commission (NERC) has given electricity Distribution Companies (Discos) a December 31, 2025 deadline to complete the metering of customers under its newly approved N28 billion funding initiative.

In the new order marked:NERC/2025/107, signed by the commission’s Vice Chairman, Musiliu Oseni, and Commissioner for Legal, Licensing, and Compliance, Dafe Akpeneye, the power sector regulator stated that Nigerians who fall within Band ‘A’ and Band ‘B’ should be prioritised.

The N28 billion scheme, tagged:  “Order on the Operationalisation of Tranche B of the Meter Acquisition Fund,” which took effect from October 6, 2025, NERC said, builds on the first tranche of N21 billion, which was concluded on June 30, 2025.

“The new phase aims to accelerate the closure of Nigeria’s metering gap, currently estimated at over 7 million customers, while enhancing revenue protection and demand-side management for Discos”, the commission stated.

Besides, the commission directed all Discos to conduct transparent procurement processes within 10 days of the order’s commencement and to submit their selected Meter Asset Providers (MAPs), along with detailed meter inventory within 15 days for regulatory approval.

According to NERC, any Disco that fails to provide network clearance or accurate customer data necessary for timely meter installation would be penalised, with deductions made from its approved administrative operating expenditure.

The order further said NERC shall adopt the median Disco MAP online bid prices for the August 2025 bid cycle as the final prices for all meter categories, stressing that the evaluation of all bids in respect of Tranche B shall be on the basis of meter stock availability and technical assessment.

“Discos shall utilise N28,000,000,000 of the MAF scheme for Tranche B apportioned in accordance with their respective contributions as at the July 2025 market settlement and detailed in Schedule 1, for the procurement and installation of meters for unmetered Band ‘A’ and ‘B’ customers within their franchise areas.

“The Commission shall adopt the median Disco MAP online bid prices for the August 2025 bid cycle as the final prices for all meter categories. The evaluation of all bids in respect of Tranche B shall be on the basis of meter stock availability and technical assessment.

“DisCos shall, within 10 days from the effective date of this Order, conduct a transparent procurement process for the selection and execution of a contract with MAPs with verified and ready-for-deployment meter stock for the metering of end-use customer meters under the MAF scheme”, the NERC order stated.

In the same vein, it said that each MAP shall submit a Performance Bond in respect of the meter installation, issued in favour of the Fund Manager by a licensed commercial bank in Nigeria.

 “Discos shall ensure that all the necessary resources and network clearance required by the MAPs to install meters based on installation plans are provided and/or completed. Where a Disco elects to move an existing customer’s connection point to a pole or high wall to ensure revenue protection, such Disco shall bear the cost for the relocation.

 “Where the non-installation of meters is directly attributable to Discos’ failure to provide the required network clearance or failure to furnish accurate KYC information to the MAP within the stipulated installation period, such Disco shall be liable to a penalty which shall be equivalent to the total cost of the uninstalled meters. Penalty shall be deducted from the Disco’s approved administrative operating expenditure.

 “All contracts for the supply and installation of meters shall be filed with the commission. All parties under the MAF scheme shall exhibit the highest degree of public trust and ethical standards and shall not engage in any conduct that may constitute unfair practice or conflict of interest. The installation of meters shall be completed by 31 December 2025,” the Order added.

The Order showed that out of the N28 billion approved, Ikeja Disco got the highest with N5.46 billion; Eko received N4.35 billion; Ibadan got N4.25 billion, while Abuja Disco followed with N3.3 billion. Yola Disco received the least amount, which was put at N231 million.

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