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•FG mulls liberalisation
By Adewale Sanyaolu
Efforts by the Federal Government to bridge the country’s 7.78 million metering gap may have run into murky waters over the lingering foreign exchange crisis.
According to the Nigerian Electricity Regulatory Commission (NERC), registered electricity customer population stands at 12.64 million. Out of this population, only 4.89 million customers, which is 38.7 per cent, are metered. This leaves an unmetered population of 7.78 million customers and a metering gap of 62.3 per cent.
Already, the Meter Manufacturers and Assemblers Association of Nigeria (MMAAN), has raised the alarm that it was no longer realistic to supply meters to Discos at the current market rates as a result of the volatile exchange market.
In September 2023, the Nigerian Electricity Regulatory Commission(NERC) upwardly reviewed the price of prepaid meters in a circular marked NERC/2023/020, jointly signed by Sanusi Garba, the commission’s chairman ’and Dafe Akpeneye, its commissioner, legal, licencing, and compliance.
According to the circular, the commission said a single-phase meter will cost N81,975.16 instead of the previous price of N58,661.69 while the price of a three-phase meter was increased to N143,836.10 from N109,684.36.
At that time, the inflation rate was 26.72% and $1 was around N800 in the official market.
Speaking to Daily Sun in a telephone interview, MMAAN Secretary, Mr. Durosola Omogbenigun, said the association has written to the Discos to suspend further registration of collection of meter fees from consumers until they reach an amicable conclusion with them on the way forward.
He equally said a meeting has been held with NERC last week Monday on the current development and why the association could not continue to supply meters under the currents rates which was fixed September 6, 2023.
‘‘If any Disco collect monies from consumers under the current rates, they they would be the ones to look for ways to meter them. It is simply not sustainable for any Meter Asset Provider(MAP) to procure meters under the current rates,”.
Omogbenigun said NERC was also considering the option of liberalising the meter market by allowing MAP and Discos to fix prices for meters on a weekly or monthly basis on the price to sell which would be subject to foreign exchange fluctuations.
Some of the consumers who spoke to Daily Sun in separate interviews expressed their frustration over their inability to be supplied meters several months after making payment for same.
A consumer who identified herself as Folashade Anyakwo, said for over three weeks after making payment for 2 three phase meter and a single meter, she was yet to be installed the meters.
According to her, all efforts to get the Disco under her franchise area provide the meters have proved abortive as her new tenants cannot move in into her new property.
Further findings by Daily Sun revealed that the 11 Discos have locked up their portal so as to prevent customers from registering for meter acquisition while those that are yet to lock theirs have prevented consumers from getting payment codes.
Commissioner for Finance and Management Services, NERC, Mr. Nathan Rogers, had during the first quarterly meeting of the Nigeria Electricity Supply Industry(NESI) stakeholders for 2024, which was convened and presided over by NERC warned Discos not to cajole customers into paying for meters when they don’t have meters in stock.
“If you collect customers’ money, then you have to install meters for them at no additional cost regardless of when you install it. You must meter customers at the price it was when they initially paid. You can’t charge them more,” Rogers warned.
Team Lead (Power), Office of the Special Adviser to the President on Energy, Eriye Onagoruwa, pointed out that “There is a huge metering gap that needs to be bridged.”
He maintained that “The Presidential Metering Initiative (PMI) is looking at bulk procurement of smart meters, developing homegrown systems of MDMS, reduction of ATC&C losses to globally accepted standards and stakeholders engagement to identify challenges facing the sector while carrying metering manufacturers along without compromising on cost, quality and delivery.”
Also commenting, NERC Commissioner in charge of Legal, Licensing and Compliance, Dafe Akpeneye, said the commission expects Discos to to meter paid customers within 10 days.
