Electricity Meter, Installation Are Free, Federal Gov’t Insists

The Federal Government has reaffirmed that electricity meters being deployed under the Distribution Sector Recovery Programme (DISREP) are free for customers, warning Nigerians not to pay any money for meter supply or installation.

Director General of the Bureau of Public Enterprises (BPE), Mr. Ayodeji Ariyo Gbeleyi, stated this on Wednesday in Abuja at a joint media briefing on DISREP with the managing directors of Nigeria’s 11 Electricity Distribution Companies (DisCos).

DISREP is financed through a $500 million World Bank facility.

The DG said the concessional nature of the funding, which comes at single-digit interest rates, makes it more sustainable than commercial borrowing and supports long-term stability in the power sector.

Under the DISREP IPF, 3.2 million smart meters were being procured and installed nationwide over a four-year period through competitive international and local biddings. According to him, close to 700,000 meters have already been delivered, while about 200,000 have been installed across different DisCos’ franchise areas.

The DG said, “With DISREP and other Federal Government’s interventions, the journey to power sector reliability is underway. DISREP is not just a short-term intervention, but part of a broader and coordinated plan of the Renewed Hope Agenda of President Bola Ahmed Tinubu, GCFR towards building a financially viable and service-oriented electricity market

“Nigerians deserve a power sector that works, one that delivers reliable electricity, protects consumers, ensures value for money, and supports economic growth.
Together, we shall achieve that! The supply and installation of these meters for customers are free.”

It was also disclosed that government had already paid the contractors to supply and install the meters. DISREP is integrated with other metering initiatives, including the Presidential Metering Initiative and the Meter Acquisition Fund, to accelerate the closing of Nigeria’s metering gap.

Echoing the government’s position, the Managing Director of Abuja Electricity Distribution Company, Engr. Chijioke Okwuokenye, warned customers not to pay for meters. “These meters are to be deployed and installed freely. Anybody asking you to bring money should be reported,” he said.

MD of Eko Electricity Distribution Company (Eko Disco), Wola Joseph-Condotti, said the company was working closely with the authorities to weed out the bad eggs who extort monies from customers for meter procurement and installation.

The programme offers significant benefits to consumers, including the removal of upfront meter purchase and installation costs, accurate billing and elimination of arbitrary estimated billing, improved service accountability by DisCos, better transparency and dispute resolution, as well as long-term improvements in supply reliability as the sector becomes more financially viable.

For DisCos, Gbeleyi said DISREP provides access to concessional World Bank financing for metering and network upgrades, reduces Aggregate Technical, Commercial and Collection (ATC&C) losses, improves liquidity and revenue assurance, and strengthens operational performance for long-term investment.

Gbeleyi disclosed that $250 million of the facility is dedicated to Investment Project Financing, which supports bulk procurement of the 3.2 million smart meters, deployment of Meter Data Management Systems, and provision of technical assistance and capacity-building programmes to strengthen DisCos’ operations and processes.

Describing DISREP as a landmark transaction, Gbeleyi said it is the first initiative of its kind in which government, beyond investing in distribution network infrastructure, is deploying meters at scale to bridge the country’s metering gap. He cited official figures showing that Nigeria currently has about 5.66 million unmetered electricity customers.

“The plan is to quickly close that gap. These meters are for everybody. They are for Nigerians. Priority is on unmetered customers,” he said.

He clarified that while the policy targets unmetered customers, DisCos have been allowed to deploy up to 20 per cent of the meters to replace faulty or technologically obsolete units, following feedback from the field.