The Nigerian Electricity Regulatory Commission (NERC) has clarified the confusion surrounding electricity meters in Nigeria, emphasizing that only some meters are free under government-funded programmes, while others may require payment through alternative schemes.
This clarification follows widespread complaints from consumers who reported being asked to pay for meters despite official policies promising free installations.
Free Government-Funded Meters
Chairman of NERC, Dr. Musiliu Oseni, made the remarks during a radio interview on Fresh FM. He explained that meters supplied under the Distribution Sector Recovery Programme (DISREP) — a World Bank-supported initiative — are fully funded by the Federal Government and free at the point of installation. He stated:
“The meter provided by the government is 100 per cent free. The DISREP meter is free because it is paid for by the government. The DisCos have been rolling it out. Of course, they will pay the money back, but the loan comes at a very minimal interest rate. So, through the tariff, DisCos are not going to charge customers because of the meter. They are to provide it free of charge to the customers, and that is what the minister and the DG of BPE actually meant. And it is 100 per cent free.”
He further clarified how the cost of the meter is recovered:
“If you get the free meter, you are not to be paid anything. Ideally, you are meant to pay for the cost of the meter given to you through the tariffs. So, no DisCo is allowed to collect money from customers because of a DISREP meter.”
Alternative Meter Options
For customers who cannot wait for the rollout of government-funded meters, the Meter Asset Provider (MAP) scheme remains an option. Oseni explained:
“There is still the Meter Asset Provider. Those residing in an area where it will take time before the free installation gets to them, and they cannot wait, can decide to pay for a Meter Asset Provider. But they must ensure that they pay into a company, not an individual.”
He also advised consumers on how to identify free meters:
“When the MAP meter gets to them, they can check whether it is a meter that is meant to be free that is being provided after payment. If you look at the free meters carefully, there is an inscription. After the name of the DisCo, you will see DISREP.”
Refunds for Previous Payments
Customers who had previously paid for meters under approved arrangements are eligible for refunds. Oseni added:
“If you pay for your meter upfront, you are meant to get refunded. But if you get the free meter, you are not to be paid anything; you are meant to pay for the cost of the meter given to you through the tariffs.”
Government Backing
The clarification aligns with a recent directive from the Minister of Power, Chief Adebayo Adelabu, issued during an inspection of smart meters at APM Terminals, Apapa, Lagos. The minister stated:
“I want to mention that it is unprecedented that these meters are to be installed and distributed to consumers free of charge — free of charge. Nobody should collect money from any consumer. It is an illegality. It is an offence for the officials of distribution companies across Nigeria to request a dime before installation; even the indirect installers cannot ask consumers for a dime.”
Addressing concerns about the financing of these meters, the Director-General of the Bureau of Public Enterprises (BPE), Ayo Gbeleyi, explained:
“We’ve had pushback where some have said, ‘No, the DisCos are paying for the meters over 10 years. The truth is, every component of investment that goes into the DisCos gets recouped through the tariff structure. So, whether it is a feeder pillar, whether it is a transformer, or whether it is a meter, we as consumers will ultimately pay for those pieces of equipment through the tariff design.”
Moving Forward
NERC’s clarification aims to protect consumers from illegal charges while ensuring transparency in the rollout of electricity meters. The government continues to push for nationwide metering to close the significant gap in prepaid meters, improve billing accuracy, and enhance electricity service delivery across Nigeria.
Consumers are urged to verify the type of meter they are offered, check for official DISREP markings, and report any unauthorized charges to NERC.
