The NERC metering fund has released N21 billion to Nigeria’s electricity distribution companies, with a directive to make prepaid meters available to customers within 60 days. The Nigerian Electricity Regulatory Commission says the money, drawn from the Meter Acquisition Fund, will help close a metering gap of more than seven million customers across the country.
What the NERC metering fund covers
The first tranche shares the cash across the DisCos. Abuja Electricity Distribution Company received about N2.99 billion, Eko Electricity Distribution Company got N2.92 billion, and Ibadan Electricity Distribution Company took N2.52 billion. Enugu and Benin DisCos received N1.73 billion and N1.57 billion respectively, while the remaining operators share the balance under the same framework.
The regulator issued the release through an order titled “Operationalisation of Tranche A of the Presidential Metering Initiative.” It stressed that every meter procured and installed under the scheme must reach the customer at no cost. In other words, eligible homes and businesses should not be asked to pay the DisCo for the device.
Why metering matters in Nigeria
Millions of Nigerian homes and businesses are still unmetered. Without a meter, customers pay “estimated” bills that many say are inflated and unfair. Estimated billing has fuelled years of disputes between consumers and the DisCos, and it discourages people from paying at all.
By funding meters directly, the regulator hopes to cut estimated billing, improve revenue collection and rebuild trust in the power sector. Accurate metering also gives the DisCos better data on how much electricity they actually sell, which matters as Nigeria pushes to make the industry financially stable and to attract fresh investment into generation and distribution.
How the 60-day deadline will work
The 60-day window puts pressure on the DisCos to move quickly. Each operator is expected to procure meters, install them and report progress to NERC. The commission has warned that the funds are tied strictly to metering and cannot be diverted to other costs.
Industry watchers say the speed of delivery will be the real test. Past metering schemes, including the National Mass Metering Programme, made progress but still left a large gap. Whether the new tranche moves the needle will depend on the supply of meter hardware, much of which is imported, and on how faithfully the DisCos follow the rules.
What customers should expect
Customers in line for a free meter do not have to pay the DisCo for the device under this scheme. NERC has advised consumers to insist on official documentation when a meter is installed, and to report any demand for payment. The commission says the goal is simple: a metered customer base that pays for what it uses and trusts the bill it receives.
For now, the N21 billion release is a down payment on a much larger problem. If the first tranche is delivered on time, more funding rounds are expected to follow as Nigeria works toward metering every electricity customer and ending the era of estimated bills for good.
How the NERC metering fund fits the bigger picture
The release lands at a sensitive moment for the power sector. Tariffs have risen sharply for so-called Band A customers, who get the most hours of supply, and many Nigerians complain that they are paying more without seeing better service. Reliable meters are central to that debate, because they tie what a customer pays to the power they actually receive rather than to a guess.
Closing the metering gap is also key to the financial health of the whole industry. Generation companies, gas suppliers and the national grid all depend on cash collected at the distribution end. When millions of customers are unmetered and bills are disputed, that cash leaks out, and the shortfall ripples back up the chain. The regulator argues that fixing metering is one of the cheapest ways to steady the entire system.
