NERC Explains Nigeria’s Metering Policy: Free Meters, Paid Alternatives
Regulator Addresses Public Confusion
THE Nigerian Electricity Regulatory Commission (NERC) has clarified growing public confusion surrounding the Federal Government’s electricity metering programmes, stressing that not all electricity meters currently being installed across the country are free.
The clarification follows recent warnings by government officials against illegal charges by electricity distribution companies (DisCos) and widespread assumptions among consumers that all new meters must be installed at no cost.
Speaking during a radio programme on Fresh FM on Saturday, NERC Chairman Musiliu Oseni explained that while meters provided under government-funded initiatives are free at the point of installation, alternative metering options still exist for customers who are unwilling or unable to wait for government rollouts.
DISREP Meters Are Free at Installation
Oseni said meters deployed under the World Bank–supported Distribution Sector Recovery Programme (DISREP) are fully funded by the Federal Government and must be installed without any payment from customers.
“The meter provided by the government is 100 per cent free. The DISREP meter is free because it is paid for by the government,” he said.
According to Oseni, although DisCos are expected to repay the loans used to procure the meters, the repayment structure does not permit any upfront charge to customers.
“The loan comes at a very minimal interest rate. Through the tariff, DisCos are not going to charge customers because of the meter. They are to provide it free of charge to customers,” he added.
He stressed that no DisCo is legally allowed to demand payment for meters installed under the DISREP programme.
Tariffs, Not Cash Payments
Oseni acknowledged that consumers ultimately bear infrastructure costs through electricity tariffs, but insisted that this does not translate into direct payments at the point of installation.
“If you get the free meter, you are not to pay anything. Ideally, the cost of the meter is recovered through the tariff structure, not through upfront charges,” he said.
He warned customers to report any DisCo or installer demanding payment for DISREP meters, describing such actions as violations of regulatory rules.
MAP Scheme Still in Place
While emphasising the free-meter programme, Oseni noted that the Meter Asset Provider (MAP) scheme remains operational for customers who prefer not to wait for government-funded installations.
“There is still the Meter Asset Provider. Those residing in areas where it will take time before free installation gets to them, and who cannot wait, may decide to pay for a MAP meter,” he explained.
However, he cautioned that payments must be made directly to approved MAP companies and not to individuals.
How to Identify Free Meters
To help consumers distinguish between free and paid meters, Oseni advised customers to inspect the meter carefully before installation.
“If you look at the free meters, there is an inscription. After the name of the DisCo, you will see ‘DISREP’,” he said.
He added that consumers who previously paid upfront for meters under approved arrangements are entitled to refunds.
Minister Reinforces Warning to DisCos
The clarification follows a recent warning by Minister of Power Adebayo Adelabu, who reiterated that meters procured under DISREP must be installed free of charge.
During an inspection of newly imported smart meters at APM Terminals in Lagos, Adelabu said any form of payment demand by DisCo officials or installers amounts to an offence.
“Nobody should collect money from any consumer. It is an illegality,” the minister said.
DisCos Raise Sustainability Concerns
Despite the government’s position, some DisCos have expressed concerns about cost recovery, installation expenses and long-term financial sustainability. Some operators described the policy as politically driven and insufficiently discussed with stakeholders.
The Bureau of Public Enterprises (BPE), however, dismissed claims that DisCos were unfairly burdened.
BPE Director-General Ayo Gbeleyi explained that all power sector investments are ultimately recovered through tariffs.
“Whether it is a transformer, feeder pillar or meter, consumers will ultimately pay for those assets through tariff design,” he said.
Closing Nigeria’s Metering Gap
Oseni noted that Nigeria still has about 5.9 million unmetered customers, adding that DISREP and the forthcoming Presidential Metering Initiative are designed to close the gap.
He said procurement for the presidential initiative is ongoing under the Office of the Special Adviser to the President on Energy.
With the clarification, NERC says it hopes to curb misinformation and ensure that consumers understand their rights under Nigeria’s evolving electricity metering framework.
