DisCos: 2021 target for metering all customers unrealistic

The electricity distribution companies (DisCos) in the country says the 2021 target set for metering all customers is unrealistic.

The Nigerian Electricity Regulatory Commission (NERC) had given the DisCos a target to close the metering gap by December 2021.

In a statement on Sunday, Sunday Oduntan, executive director of research and advocacy, Association of Nigerian Electricity Distributors (ANED), said the high import duty on meters could hinder the mass metering scheme.

ANED, the umbrella body of DisCos, asked the federal government to intervene by finding better leverage that will accelerate the clearing of meters at the ports.

Oduntan said some of the DisCos have the capacity to install about 3,000 meters per day if they are available.

“While those importing meters are finding it hard because of the import duty, the local meter manufacturers are also finding it difficult to continue production because they have to pay import duty on at least seven different components which they import for use in producing the meters in Nigeria,” Oduntan said.

“On the part of the federal government, what has it done to ensure that the meters are available for them to be installed for the customers of the DisCos? There is an urgent need for government to intervene so that there will be more meters available to be installed.”

According to ANED, the Nigerian Electricity Management Services Agency (NEMSA) has tested and certified 273,000 meters for DisCos as a result of the challenges the firms are facing in importing meters.

In 2018, the NERC introduced the MAP regulation to new investors in the power sector to fast-track the roll-out of meters through the engagement of third-party investors and end the estimated billing regime.

In 2019, the commission issued permits to meter asset providers to begin the rollout of new prepaid meters by May 1 and 26 contractors have been approved under the program as of December 31, 2019.

According to the commission’s latest report, only 3.9 million of the registered 10.3 million subscribers in the country have prepaid meters.