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By Adewale Sanyaolu
To close the seven million metering gap, the Federal Government through the Nigerian Electricity Regulatory Commission (NERC) has approved the release of N28 billion for the second phase of the Meter Acquisition Fund (MAF), an initiative under the Presidential Metering Initiative (PMI).
The PMI aims at closing the metering gap and improving transparency in electricity billing across the country.
Recall that NERC had earlier signed off on the tranche A of the PMI where about N21 billion was approved for the procurement and installation of meters across the 11 Distribution Companies (DisCos).
The approval of the second phase of N28 billion MAP is contained in a document jointly signed by NERC Vice Chairman, Musiliu Oseni and Commissioner for Legal, Licensing and Compliance, Dafe Akpeneye. The order document outlines the operationalisation of “Tranche B” of the Meter Acquisition Fund, which officially took effect on October 6, 2025.
According to the Commission’s tranche B allocation schedule, Ikeja Electric Plc received the highest allocation of N5.47 billion, Eko Electricity Distribution Company (N4.36 billion) and Ibadan Electricity Distribution Company (N4.26 billion)
Others include; Abuja Electricity Distribution Company: N3.31 billion, Benin Electricity Distribution Company: N2.30 billion. Port Harcourt Electricity Distribution Company: N2.27 billion, Enugu DisCo: N1.98 billion.
Further breakdown shows Kano DisCo: N1.58 billion, Kaduna DisCo: N1.46 billion. Jos DisCo :N793.9 million, Yola DisCo, which serves the North-East region got the least amount of N231.25 million.
The order according to NERC reflects the continuation of the Commission’s efforts to expand metering coverage across the Nigerian Electricity Supply Industry (NESI).
The latest initiative is in furtherance of the MAP Regulations of 2018 and the Meter Asset Provider and National Mass Metering Regulations (MAP&NMMR) of 2021, frameworks earlier developed to address the chronic metering shortfall in the electricity sector. Despite these interventions, the national metering gap remains in excess of seven million customers.
The Commission identified that a key obstacle to achieving nationwide metering has been the inability of discos to secure adequate financing, through debt or equity, for large-scale meter acquisition and other capital investments.
To address this, NERC created the Meter Acquisition Fund to provide a sustainable financing mechanism by leveraging a portion of market collections as a credible revenue stream to back long-term borrowing for metering expansion.
The Fund is managed by a Fund Manager appointed under a regulated framework approved by NERC, with funds allocated proportionally to DisCos based on their contributions to market settlements.
The Federal Government’s Presidential Metering Initiative (PMI) aims to leverage smart metering technologies for data analytics, transparency, and improved customer service delivery across the NESI.
Under this initiative, the Meter Acquisition Fund serves as one of the repayment mechanisms for long-term metering finance.
The overall target of the PMI is to close Nigeria’s metering gap with the new Order focusing on Band A and Band B customers, classified as customers consuming higher energy volumes and contributing significantly to revenue flow.
Under the new framework, DisCos are to utilise the ₦28 billion to procure and install meters for all unmetered Band A and Band B customers within their service areas.
The Commission in the document noted that, it has also adopted the median MAP online bid prices for August 2025 as the uniform price benchmark for all meter categories.
It therefore ordered that within 10 days of the Order’s commencement; DisCos must conduct a transparent procurement process to select Meter Asset Providers (MAPs) with verified stock ready for deployment.
It also stated that within 15 days, DisCos must submit to NERC a list of selected MAPs and details of available meter inventory, including meter types, brands, serial numbers, and warehouse locations, for regulatory “No-Objection” approval.
The Commission added that approved MAPs are to deliver 100 percent of contracted meters within seven days of receiving NERC’s clearance, with verification by the Commission and documentation via Store Receipt Vouchers.
It also said DisCos are authorised to request 60 per cent of payment from the Fund Manager upon delivery confirmation, and the remaining 40 per cent upon verified installation by NERC field officers.
NERC further mandated that all installed meters must be integrated into the National Metering Data Management System (NMDMS) within 72 hours, be remotely readable, tamper-proof, and fully synchronised with the DisCo’s billing infrastructure.
