The Nigerian Electricity Regulatory Commission (NERC) has approved ₦30bn for the third phase of its Meter Acquisition Fund (MAF) to accelerate electricity meter installations for unmetered Band A customers and expand coverage among Band B consumers.
The regulator also directed the country’s 11 electricity distribution companies (DisCos) to complete all installations under the programme by May 31, 2027, warning that customers must not be charged for meters provided through the initiative.
NERC announced the approval in Order No. NERC/2026/121, which operationalises Tranche C of the Meter Acquisition Fund and took effect on November 2, 2026.
₦30bn to Cover Unmetered Band A and Band B Customers
According to the commission, the approved funding will be distributed among the 11 distribution companies based on their respective contributions to the Meter Acquisition Fund.
The allocation is intended to provide meters for all remaining unmetered Band A customers while accelerating installations for Band B consumers. NERC also directed that the distribution of meters must be equitable across states within each DisCo’s operational area.
The initiative forms part of the Federal Government’s Presidential Metering Initiative, which seeks to address Nigeria’s electricity metering deficit, reduce estimated billing and improve transparency in the power distribution sector.
DisCos Directed to Provide Meters Free of Charge
NERC reiterated that all meters supplied and installed under the programme must be provided free of charge to eligible electricity consumers.
The commission warned distribution companies and their agents against selling the meters, adding that every meter supplied under the initiative must display the relevant DisCo’s name, the applicable funding tranche and the inscription “NOT FOR SALE”.
It also directed DisCos to conduct transparent procurement exercises involving eligible local meter manufacturers, assemblers and Meter Asset Providers with verified meter stocks.
NERC Introduces Payment Safeguards and Sanctions
To strengthen accountability, the regulator introduced a two-stage payment arrangement for participating meter providers.
Under the arrangement, 70 per cent of contract payments will be released after verification of delivered meter stocks, while the remaining 30 per cent will be paid after the successful installation of the meters has been confirmed.
NERC also clarified that where a distribution company relocates an existing customer’s connection point for revenue protection purposes, the company must bear the associated costs rather than transfer the expense to the customer.
The order further provides for sanctions where defaults by distribution companies obstruct or delay meter installations.
To ensure transparency and prevent the diversion of funds, the commission has also established monitoring, reporting and evaluation requirements for the Fund Manager, distribution companies and participating meter providers. All supply and installation contracts under Tranche C must also be submitted to the regulator.
The latest approval represents another step in the Federal Government’s efforts to expand electricity metering, protect consumers from estimated billing and strengthen accountability in Nigeria’s electricity distribution system.
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