FG Approves ₦30bn Metering Fund For DisCos, Orders Free Installation By May 2027

The Nigerian Electricity Regulatory Commission (NERC) announced the approval in Order No. NERC/2026/121 on the Operationalisation of Tranche C of the Meter Acquisition Fund, which took effect on November 2, 2026.

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  • The Federal Government has approved ₦30 billion for the third tranche of the Meter Acquisition Fund (MAF) to accelerate efforts to close Nigeria’s electricity metering gap.

  • The fund will be allocated among the 11 electricity Distribution Companies (DisCos) according to their respective contributions, with priority given to unmetered Band A customers and accelerated metering of Band B customers.

  • The Nigerian Electricity Regulatory Commission (NERC) has directed DisCos to provide all meters under the programme free of charge, insisting that every meter must carry the inscription, “NOT FOR SALE”.

  • NERC has fixed May 31, 2027, as the deadline for completing all installations under Tranche C and prescribed sanctions for DisCo defaults that obstruct the process.

November 10, (THEWILL) – The Federal Government has approved ₦30 billion for the third tranche of the Meter Acquisition Fund (MAF), directing electricity distribution companies to provide free meters to eligible customers as part of efforts to accelerate the closure of Nigeria’s electricity metering gap.

The Nigerian Electricity Regulatory Commission (NERC) announced the approval in Order No. NERC/2026/121 on the Operationalisation of Tranche C of the Meter Acquisition Fund, which took effect on November 2, 2026.

The Commission, in a statement on Tuesday, said the order establishes a transparent framework for implementing the third tranche of the Presidential Metering Initiative, aimed at accelerating meter deployment across the country.

₦30bn Allocation For 11 DisCos

Under the arrangement, the approved ₦30 billion will be allocated among the 11 electricity Distribution Companies (DisCos) in proportion to their respective contributions to the Fund.

NERC said the funding would be used to meter all remaining unmetered Band A customers and accelerate the provision of meters to Band B customers. It also stipulated that meter distribution must be equitable across states within the franchise areas of the respective distribution companies.

The Commission directed DisCos to conduct transparent procurement processes involving eligible Local Meter Manufacturers and Assemblers (LMMAs) and Meter Asset Providers (MAPs) with verified meter stocks. It said maximum procurement prices had been prescribed based on the median national MAP online bid prices recorded during the September 2026 bid cycle.

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Under the payment arrangement, selected meter providers will receive 70 per cent of their contract payments upon verification of delivered meter stocks, while the remaining 30 per cent will be paid after confirmation of complete installation.

NERC Insists On Free Meters, Warns Against Sales

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NERC Logo

Reiterating its consumer protection provisions, NERC stressed that all meters supplied and installed under the MAF programme must be provided to customers free of charge.

The Commission further directed that every meter deployed under the initiative must prominently display the name of the relevant DisCo, the applicable MAF tranche and the inscription, “NOT FOR SALE”.

The directive is intended to prevent the sale of meters provided under the programme and ensure that electricity consumers are not charged for their supply and installation.

The order also addresses situations involving the relocation of existing customers’ connection points for revenue protection purposes.

NERC stated that where a DisCo initiates the relocation of an existing customer’s connection point for revenue protection, the cost must be borne by the distribution company. It also prescribed sanctions in cases where defaults by distribution companies impede or frustrate meter installation under the programme.

To strengthen accountability and transparency, the Commission outlined monitoring, reporting and evaluation requirements for the Fund Manager, DisCos and participating meter providers. It further directed that all supply and installation contracts executed under Tranche C must be filed with the Commission.

The regulatory order sets May 31, 2027, as the deadline for completing all meter supply and installation activities under the third tranche.

Initiative Targets Nigeria’s Metering Deficit

The latest intervention comes against the backdrop of Nigeria’s longstanding electricity metering deficit, which has left many consumers without individual meters and dependent on estimated billing.

The Presidential Metering Initiative is designed to accelerate meter deployment, improve billing transparency and address persistent challenges associated with electricity distribution and revenue collection.

Through the programme, the Federal Government and electricity sector regulators are seeking to expand access to prepaid metering while improving accountability in the relationship between distribution companies and their customers.

NERC urged all stakeholders, particularly distribution companies and participating meter providers, to comply strictly with the provisions of the new order.

The Commission said the implementation of Tranche C would reinforce its commitment to closing the national metering gap, improving revenue assurance, enhancing service delivery and protecting electricity consumers.

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Felix Ifijeh is a journalist with years of professional reporting experience. Known for his keen news sense, compelling storytelling and commitment to accurate, impactful reporting, he has built a reputation for turning leads into clear, engaging, and well-structured reports that resonate with readers. His work reflects deep newsroom experience and a commitment to accurate, impactful journalism.

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