NERC Approves ₦30 Billion Metering Fund to Expand Free Electricity Meter Access for Band A and B Customers.

NERC Approves ₦30 Billion Metering Fund to Expand Free Electricity Meter Access for Band A and B Customers.

The Nigerian Electricity Regulatory Commission (NERC) has approved ₦30 billion for the third phase of its Meter Acquisition Fund (MAF), in a renewed effort to close Nigeria’s electricity metering gap and improve consumer protection.

The funding, approved under Tranche C of the Meter Acquisition Fund, is designed to provide free electricity meters to all remaining unmetered Band A customers while accelerating meter installations for consumers classified under Band B.

The approval is contained in Order No. NERC/2026/121 on the Operationalisation of Tranche C of the Meter Acquisition Fund, which became effective on November 2, 2026.

The initiative forms part of the Federal Government’s Presidential Metering Initiative, which seeks to expand electricity metering, strengthen accountability in the power sector and reduce the challenges associated with estimated billing.

₦30 Billion to Be Shared Among 11 Electricity Distribution Companies

Under the new arrangement, the ₦30 billion will be allocated among Nigeria’s 11 electricity distribution companies (DisCos) in proportion to their respective contributions to the Meter Acquisition Fund.

NERC also directed that meter installations should be distributed equitably across states within each distribution company’s operational territory.

The Commission has instructed DisCos to conduct transparent procurement exercises involving eligible Local Meter Manufacturers and Assemblers (LMMAs), as well as Meter Asset Providers (MAPs) with verified meter stocks.

To strengthen cost control, NERC has established maximum procurement prices based on the median national prices submitted by Meter Asset Providers during the September 2026 bidding cycle.

NERC Insists That Customers Must Receive Meters Free of Charge

A key provision of the new directive is that electricity customers must not be charged for meters supplied and installed under the Meter Acquisition Fund programme.

The Commission has directed that selected meter providers receive 70 per cent of their payment after verified delivery of meter stocks, while the remaining 30 per cent will be released after confirmation that installation has been completed.

Additionally, every meter supplied under the programme must display the name of the relevant electricity distribution company, the applicable MAF tranche and the inscription, “NOT FOR SALE.”

NERC also clarified that where a distribution company initiates the relocation of an existing customer’s connection point for revenue protection purposes, the company must bear the associated cost.

DisCos Given May 2027 Deadline to Complete Installations

To ensure accountability and prevent delays, NERC has introduced monitoring, reporting and evaluation requirements for the Meter Acquisition Fund manager, distribution companies and participating meter providers.

All procurement and installation contracts must be submitted to the Commission, while sanctions may be imposed where the default of a distribution company obstructs or delays meter installations.

The Commission has fixed May 31, 2027, as the deadline for completing all installations under the third tranche.

A Renewed Effort to Address Nigeria’s Electricity Metering Gap

The latest ₦30 billion approval builds on previous government and regulatory interventions aimed at expanding prepaid electricity metering across the country.

In 2024, NERC approved an initial ₦21 billion under Tranche A of the Meter Acquisition Fund. This was followed by a further ₦28 billion under Tranche B in 2025, which also targeted outstanding unmetered Band A customers and accelerated metering for Band B consumers.

Despite these interventions, the availability and timely installation of meters remain important challenges for electricity consumers, particularly those who continue to receive estimated bills.

The new funding therefore represents another significant step towards improving billing transparency and strengthening consumer confidence in Nigeria’s electricity market.

However, the effectiveness of the programme will ultimately depend on how efficiently the distribution companies implement the directive, how transparently the funds are utilised and whether eligible customers receive their meters within the stipulated timeframe.

For consumers, the central expectation is straightforward: access to accurate electricity billing without having to pay for meters provided under the government-backed programme.