The Federal Government has declared that electricity meters are no longer for sale in Nigeria, directing electricity distribution companies (DISCOs) and licensed meter installers to provide and install smart meters for consumers at no cost. The government also warned that any operator found charging customers for meters or their installation would face prosecution.
The directive was issued recently by the Minister of Power, Chief Adebayo Adelabu, as part of renewed efforts by the Federal Government to reform the electricity sector, protect consumers from exploitation and address long standing complaints over estimated billing.
According to the Minister, millions of electricity meters have already been procured by the Federal Government under the World Bank funded Distribution Sector Recovery Programme (DISREP). The meters, he said, are meant to be distributed freely to electricity consumers nationwide to enhance transparency, fairness and efficiency in the billing system.
Adelabu stressed that any attempt by DISCOs or their agents to charge Nigerians for meters procured under the programme amounts to illegality and will not be tolerated.
“Meters have been procured with public funds under the DISREP initiative. These meters are not for sale. They are to be provided and installed free of charge for electricity consumers. Any distribution company or installer that attempts to charge consumers is acting illegally and will be prosecuted,” the Minister said.
World Bank Backed Intervention
The Distribution Sector Recovery Programme is a World Bank supported initiative aimed at addressing critical challenges facing Nigeria’s electricity distribution segment. One of its core objectives is to close the metering gap that has plagued the power sector for decades and fuelled widespread consumer dissatisfaction.
Under the programme, the Federal Government plans to import and deploy a total of 3.4 million smart meters across the country. As of the latest update, approximately one million meters have already been delivered and are in the process of being distributed to DISCOs for installation in homes and businesses.
The meters are designed to ensure accurate measurement of electricity consumption, eliminate arbitrary billing and improve revenue collection across the sector.
According to the Ministry of Power, the initiative will significantly reduce the number of unmetered customers, many of whom have endured years of estimated billing that often bears little or no relationship to actual electricity usage.
End to Estimated Billing
For millions of Nigerians, the issue of estimated billing has been a major source of frustration and conflict with electricity distribution companies. Consumers have repeatedly complained of inflated bills, lack of transparency and the absence of a reliable mechanism to verify electricity consumption.
The Federal Government believes that full metering of electricity users is a critical step towards resolving these challenges.
Adelabu explained that accurate metering would promote transparency in billing, restore trust between consumers and service providers and encourage a culture of prompt payment.
“When consumers know that they are being billed strictly based on what they consume, their willingness to pay improves. This, in turn, improves liquidity in the sector and enables distribution companies to invest more in infrastructure and service delivery,” he said.
Boosting Sector Liquidity and Service Delivery
Beyond consumer protection, the government said the free meter installation policy is also aimed at stabilising the electricity value chain. Poor revenue collection at the distribution level has been identified as one of the major bottlenecks undermining the sustainability of Nigeria’s power sector.
With improved metering, DISCOs are expected to record more accurate revenues, reduce commercial losses and strengthen their financial position. This, according to the government, will ultimately translate into better power supply, quicker fault resolution and improved customer service.
Officials at the Ministry of Power noted that the DISREP metering initiative complements other ongoing reforms, including efforts to restructure tariffs, strengthen regulation and attract new investments into the sector.
Warning to DISCOs and Installers
The Federal Government issued a strong warning to electricity distribution companies and meter installers, urging them to strictly comply with the directive or face legal consequences.
Adelabu said the government would not hesitate to deploy regulatory and law enforcement mechanisms against any operator found extorting consumers under the guise of meter provision.
“We are aware that in the past, some consumers were compelled to pay exorbitant amounts for meters or installation. That era is over. Nigerians should not pay for what the government has already provided. Any attempt to shortchange consumers will attract sanctions, including prosecution,” he said.
The Minister urged consumers to report any demand for payment related to meters procured under DISREP to the Nigerian Electricity Regulatory Commission (NERC) or the Ministry of Power.
Consumer rights advocates have welcomed the government’s directive, describing it as a long overdue intervention in the electricity sector.
Several groups noted that while previous metering initiatives such as the Meter Asset Provider scheme helped to expand meter deployment, they still placed a financial burden on consumers. The free meter policy, they said, represents a more equitable approach.
However, some stakeholders cautioned that effective monitoring and enforcement would be critical to the success of the policy. They warned that without strict oversight, some DISCOs might continue to impose illegal charges on unsuspecting consumers.
The Federal Government has also emphasised the need for widespread public awareness to ensure that consumers are fully informed of their rights under the new directive.
Officials said public sensitisation campaigns would be intensified to educate Nigerians that electricity meters provided under the DISREP programme are free and that no payment should be demanded at any stage.
Consumers have been advised to demand official identification from installers and to insist on documentation confirming that meters are supplied under the government funded programme.
With about one million meters already delivered and more expected in the coming months, the Federal Government expressed optimism that Nigeria is on course to significantly reduce its metering deficit.
Adelabu reaffirmed the administration’s commitment to power sector reforms, stating that reliable electricity supply remains a critical pillar of economic growth, industrial development and improved quality of life for Nigerians.
“The goal is simple: fair billing, improved service delivery and a power sector that works for everyone. Free metering is a major step in that direction,” the Minister said.
As implementation gathers momentum, Nigerians will be watching closely to see whether the directive translates into tangible relief on electricity bills and a lasting end to estimated billing across the country.
