Categories: Energy

Metering Gap Exceeds 7 Million Despite Multilateral Loans and Government Funds

Despite interventions by the Federal Government and multilateral lenders amounting to over N1.5 trillion, Nigeria’s metering gap continues to widen with more than seven million electricity consumers unmetered.

The Federal Government had allocated N700 billion to the Presidential Metering Initiative (PMI) and N59.3 billion under the National Mass Metering Programme (NMMP).

Also, a $500 million World Bank loan and N21 billion from the Meter Asset Financing (MAF) scheme were arranged to bridge the gap.

However, progress remains slow, with reports of alleged mismanagement and embezzlement of funds under the NMMP.

According to the Nigerian Electricity Regulatory Commission (NERC), only 6.1 million out of 13.3 million registered electricity customers are metered, leaving 7.1 million without prepaid meters.

This shortfall has led to continued reliance on estimated billing, a practice widely criticised for its lack of transparency.

Meter prices have soared with single-phase meters now costing up to N131,000 and three-phase meters exceeding N230,000. Consumers, frustrated by the delays and rising costs, have expressed concerns over the inefficiency of previous metering programmes.

“We have been waiting for a meter for over three years. Meanwhile, every month, the bill increases even though we do not get a regular supply,” said Lagos-based teacher Olubunmi Adeyemi.

Legal battles have also added to the delays as a Federal High Court in Abuja is set to hear a case on February 4 involving Ziklagsis Network Ltd, which seeks to halt the recovery of N39.1 billion meant for a mass metering contract.

Meanwhile, the Minister of Power, Adebayo Adelabu, has said 1.4 million meters were procured under the Distribution Sector Recovery Programme (DISREP) in December 2024 and it is expected to be delivered this quarter.

“The PMI is currently training meter installers with the National Power Training Institute of Nigeria (NAPTIN) as we will not have the capacity to install all the DISREP and PMI meters when supplied,” said Tunji Bolaji, Special Adviser to the Minister of Power.

Kunle Olubiyo, President of the Nigerian Consumer Protection Network (NCPN) argued that funds for metering initiatives are often diverted.

He suggested disbursing funds directly to local meter providers to prevent mismanagement.

As Nigeria grapples with the metering challenge, Investors King reported that experts stress the need for a clear and transparent policy to encourage private-sector investment.

“What closing the metering gap needs is consistent investment and a clear path to cost recovery of that investment,” said Adetayo Adegbemle, Executive Director of PowerUp Initiative.

Samed Olukoya

Is the CEO and Founder of Investors King Limited. He is a seasoned foreign exchange research analyst and a published author on Yahoo Finance, Business Insider, Nasdaq, Entrepreneur.com, Investorplace, and other prominent platforms. With over two decades of experience in global financial markets, Olukoya is well-recognized in the industry.

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