Fresh N28bn metering rescue plan faces scrutiny amid unresolved N1.5trn failures
Story: written by Joseph October 24,2025
The Nigerian Electricity Regulatory Commission (NERC) recently announced a N28 billion intervention to help electricity distribution companies acquire and install meters for customers in tariff Bands A and B at zero cost to consumers. Although designed to accelerate progress under the Presidential Metering Initiative (PMI), the development has reignited concerns that earlier, far larger investments have produced limited impact.
The PMI seeks to eliminate reliance on estimated billing by closing a nationwide metering gap estimated at more than seven million households. Government officials describe this funding as a renewed effort to resolve a persistent problem that leaves millions facing unpredictable bills. However, many observers view the latest announcement with skepticism.
Industry intelligence indicates that almost N1.5 trillion has already been committed to metering interventions over the years, yet more than half of electricity customers remain without meters. As of June 30, 2025, NERC data shows that only 6,422,933 of 11,821,194 active registered customers, equivalent to 54.3 percent, were metered across the twelve distribution companies. Approximately 5.3 million customers still rely on estimated billing.
The N28 billion Meter Acquisition Fund (MAF), unveiled on October 15, allocates market-generated revenues to DisCos based on customer concentration and technical requirements. Beneficiaries including Ikeja Electric, Eko Electricity Distribution Company, Ibadan Electricity Distribution Company, and Abuja Electricity Distribution Company are projected to secure substantial allocations to deploy meters before year-end.
NERC has described the initiative as a strategic intervention focused on reducing estimated billing and improving operational efficiency across the distribution network. Nevertheless, industry professionals remain cautious. A senior executive within a Lagos-based metering company, who requested anonymity due to regulatory sensitivity, stated that the recurring problem is not the scale of funding, but inadequate transparency and execution. According to the source, past interventions have repeatedly failed to deliver promised metering results.
The skepticism draws heavily from experience. Since 2020, federal authorities have launched several metering schemes, each marketed as the ultimate solution to the nation’s chronic billing challenges. These programmes have struggled with weak oversight, corruption, and administrative delays.
The National Mass Metering Programme (NMMP) was the most ambitious of these efforts. It was introduced in 2020 with a Central Bank of Nigeria (CBN) seeded fund of N200 billion to support a pilot phase of one million meters, valued at N59.28 billion. Local Meter Asset Providers were expected to drive production and installation.
By 2022, the programme’s credibility had faltered amid allegations of large-scale fraud. The CBN sought a court order to freeze 157 bank accounts linked to ten companies accused of diverting programme funds. Investigations suggested that collaboration between suppliers and officials distorted procurement processes. Only a fraction of the targeted meters were fully delivered and installed, leaving billions unaccounted for and the metering deficit largely unchanged.
The new tranche of funding revives long-standing hopes for measurable progress but remains overshadowed by past failures that still demand accountability and structural reform across the power sector.
