Power metering drops to four-year low

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.

0

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 per cent 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, BusinessDay reports.

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 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 per cent 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.

Metre 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), Metre 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.