NERC Releases N30bn for Third Phase of Free Metering Programme

The Nigerian Electricity Regulatory Commission (NERC) has released N30 billion for the third phase of the free metering programme, directing electricity distribution companies to meter all remaining unmetered Band A customers and speed up the metering of Band B customers.

The release is contained in Order No. NERC/2026/121 on the Operationalisation of Tranche C of the Meter Acquisition Fund (MAF), which took effect on 2 November 2026.

The Commission said the Order provides a transparent framework for implementing the third tranche of the Presidential Metering Initiative, aimed at closing Nigeria’s metering gap.

The N30 billion will be shared among the 11 Distribution Companies (DisCos) in proportion to their contributions to the Fund, with meters distributed equitably across states within each DisCo’s franchise area.

NERC stressed that all meters supplied and installed under the MAF programme must be given to customers free of charge. Each meter must clearly display the DisCo’s name, the applicable MAF tranche and the inscription “NOT FOR SALE”.

Where a DisCo relocates an existing customer’s connection point for revenue protection purposes, the DisCo will bear the cost. The Order also provides for sanctions where DisCo defaults hinder meter installation.

Under the Order, DisCos must run transparent procurement processes involving eligible Local Meter Manufacturers and Assemblers (LMMAs) and Meter Asset Providers (MAPs) with verified meter stock.

NERC has set maximum procurement prices based on the median national MAP online bid prices from the September 2026 bid cycle.

Selected providers will be paid in two stages: 70 per cent on verified delivery of meter stock, and the remaining 30 per cent after confirmation of complete installation.

The Order sets monitoring, reporting and evaluation requirements for the Fund Manager, DisCos and participating meter providers. All supply and installation contracts must be filed with the Commission.

All Tranche C installations must be completed on or before 31 May 2027.

NERC urged all stakeholders to comply strictly with the Order, which it said reinforces its commitment to closing the metering gap, improving revenue assurance, enhancing service delivery and protecting consumers.