The Nigerian Electricity Regulatory Commission (NERC), under the Meter Acquisition Fund (MAF) scheme, as part of efforts to bridge the metering gap in the Nigerian Electricity Supply Industry (NESI) which is in excess of seven million customers, has released N21 billion to electricity distribution companies (DisCos) to make meters available for customers in 60 days.

In the first tranche allocation, while Abuja Electricity Distribution Company (AEDC) got N2,990,745,647; Benin Electricity Distribution Company (BEDC) received N1,571,276, 806; Eko Electricity Distribution Company (EKEDC) N2,921,896,285; Enugu Electricity Distribution Company (EEOC) N1,726,893,467 and Ibadan Electricity Distribution Company (IBEDC) also received N2,516,469,752.

Other beneficiaries include Ikeja Electricity Distribution Company (IE) with a sum of N4,358,122,421; Jos Electricity Distribution Company (JEDC) N521,905,774; Kaduna Electricity Distribution Company (KAEDC) N1,220,367,039; Kano Electricity Distribution Company (KEDCO) N1,568,029, 563; Port Harcourt Electricity Distribution Company (PHEDC) N1,360,944,608 and Yola Electricity Distribution Company (YEDC) N243,348, 639.

According to the NERS, “The funds accrued as at the April 2024 market settlement cycle and available for procurement of meters under the first tranche of the MAF scheme is in the sum of 21,864,851,725.00 (twenty-one billion eight hundred and sixty-four million, eight hundred and fifty-one thousand, seven hundred and twenty-five naira only). The Commission hereby approves the use of a sum of N21 (twenty-one billion Naira only) apportioned pro rata to contribution by the DisCos as Tranche A of the MAF scheme.”

In an order number NERC/2024/072 and titled “Operationalisation of “Tranche A” of the Presidential Metering Initiative,” the commission stated that all the meters to be procured and installed under the MAF framework shall be at no cost to the customers of the DisCos.

It added that the distribution companies must ensure completion of Know Your Customer (KYC) documentation and also confirm the readiness of the premises for metering of all customer locations.

“The DisCos shall utilise the first tranche of disbursement from the MAF scheme based on contributions made by DisCos as at the April 2024 market settlement and attached to this Order as Schedule I to procure and install meters for unmetered Band ‘A’ customers within their franchise areas,” NERS stated.

“A report containing details of the process undertaken for the selection OF MAPs/LMMAs, including meter price, meter specifications and the list of customers to be metered shall be sent to the Commission for approval within 20 days from the effective date of this Order. Upon approval of the Commission, the DisCo shall enter into contracts with selected MAPs/LMMAs on one of the following terms:

“Where an Advance Payment Guarantee (APG) issued by a commercial bank in Nigeria is provided by a qualifying MAP/LMMA, 30 percent of the contract sum shall be paid by the FM on behalf of the DisCo to the MAP/LMMA upon execution of the contract. A further 2 (two) milestone payments shall be made upon the completion of 60% of contracted quantities and 100% of the contract, respectively, with the funds advanced against bank guarantee amortised over the payments.

“Where the MAP/LMMA does not request an advance payment, the milestone payments shall be made upon the verified installation of 20%, 60% and 100%, respectively, of the contracted volume of meters. A vendor may, at his option, defer payment until the completion of the installation of the contracted volumes.

“DisCos shall ensure that all the necessary resources and network clearance required by the MAP/LMMA to install meters based on installation plans are provided and/or completed.

“The installation of contracted volume meters shall be completed within 60 days from the date of approval of the process by the Commission, and all contracts for the supply and installation of meters shall be filed with the Commission.

“The parties under the MAF scheme shall exhibit the highest degree OF public trust and ethical standard and shall not engage in any conduct that may constitute unfair practice or conflict of interest.” (Nigerian Tribune)