The Federal Government has prohibited electricity distribution firms and installers from collecting any kind of payment for meters, threatening to arrest installers and DisCo officials who are caught extorting consumers.
Adebayo Adelabu, the Minister of Power, issued the warning on Thursday while inspecting recently imported smart meters at APM Terminals in Apapa, Lagos.
Adelabu emphasized that any demand for money would be considered an offense and stated that the meters were purchased under the Distribution Sector Recovery Program, which is supported by the World Bank, and that they must be installed for customers at no cost.
After being welcomed by the Nigerian Customs Service’s Apapa Port Command by Area Controller Emmanuel Oshoba, Adelabu expressed satisfaction with the importation of an additional 500,000 smart meters under DISREP.
He stated that all electricity users, regardless of band, would receive the meters. “I would like to point out that the free installation and distribution of these meters to customers is unusual! No one should take money from a customer. It is unlawful. In Nigeria, it is illegal for distribution company representatives to solicit customers for a cent prior to installation; even indirect installers are prohibited from doing so.
In order to increase billings and collections for the industry, it must be installed at no cost.
“The primary reason for being here today is to physically verify shipments of smart meters that the Federal Government has imported as part of the Distribution Sector Recovery Program, which is supported by the World Bank. With the help of this program, the Federal Government is able to import around 3.4 million meters in two batches. The first batch consists of 1.43 million meters, of which we have received nearly a million meters. Currently, all of the nation’s distribution businesses have placed about 150,000 meters.
Additionally, we recently acquired nearly 500,000 meters. Even though he was unhappy with the rate of metering, Adelabu stated, “They are all smart meters, and I believe that the journey of completely eliminating the meter gap in the Nigerian power sector has just begun.”
Adelabu was hopeful that all homes, businesses, and institutions will be fully metered in a few years, making electricity sector billings and collections more equitable, transparent, and just. Additionally, he said, it would make electricity users more prepared to pay their bills, which would increase the sector’s liquidity.
“What’s happening is unprecedented, so I’m really thrilled and pleased about it. For the first time in the nation’s history, the government will import and purchase this many meters locally in order to guarantee a total transformation of the electricity industry. It’s like walking the talk. We are aiming for more than just verbal sector change. Nigerians can realize that this is more than just a verbal pledge.
“We mentioned that it is free. We’re not saying this in private. We are informing Nigerians that these meters are free to distribute and install in every place, and that it is prohibited for any DisCo official or installer to demand payment from the meters’ recipients. This installation will be tracked and observed by us. We wait for tip-offs as well. The state regulatory authorities have offices in every state, and the Regulatory Commission (NERC) has offices in some of these places.
“We’re going to set up a customer complaint desk where you can report any requests for illicit money, and the authorities will investigate.” In order to speed up the installation process, we’re not just letting the DisCos handle it; we’re also developing an interface between the installers and customers. The addresses and data of unmetered consumers are giving us some trouble. In order to expedite installation, we are collaborating closely with the DisCos to guarantee clean data.
Additionally, we wish to have a register where unmetered customers can sign up. We will verify the list with the DisCos once we obtain it, which will speed up the installation process. We are searching for verified instances of money requests made by installers or DisCo officials. Nigerians will be aware of what we can do, and it will discourage others from doing similar crimes. That’s the strategy.
“Extortion is prohibited, but there must be verified instances of it, and the officials involved—regardless of their rank—will face legal action. It will be made public and discourage others who have similar goals. That won’t be permitted. This is a government initiative, and no action by a DisCo or installer should impede government efforts to guarantee that Nigerians’ lives are made easier and that our power system is stable, dependable, and operational,” he stated.
Adelabu went on to say that a long-standing issue that has impacted liquidity is being resolved by the Tinubu administration. However, the government’s audacity, bravery, and political determination to proceed with this should be praised. To make sure the government’s effort is properly carried out and our goals are met, we will monitor it from beginning to end.
“All customer types are covered by the aggregate meter gap. We don’t discriminate. Every Nigerian, every consumer, and every electricity user is our first priority. We are using Band A, Band B, or Band C as a temporary solution to make sure everyone is affected by this reform. All client levels will receive the meters; they won’t be limited to any one band. He emphasized, “I am committing to that.
The Director-General of the Bureau of Public Enterprises, Ayo Gbeleyi, stated that the bureau serves on the boards of all 11 electricity distribution companies and coordinates the implementation of the Distribution Sector Recovery Programme on behalf of the Federal Government in response to questions from journalists regarding the possibility of free meter distribution to consumers.
“You will soon see a new order or circular from the Nigerian Electricity Regulatory Commission prescribing the protocols and processes DisCos must follow to ensure unhindered access for meter installations,” Gbeleyi stated in response to worries that DisCos are postponing meter installations.
“We are keeping an eye on this. To guarantee the smooth and quick deployment of these meters, we have our dashboard, trackers, and all stakeholders on board. Additionally, the meters are made in accordance with each DisCo’s unique specifications. They have an anti-theft procedure integrated in them and are engraved on the meter. A meter set up for Eko DisCo cannot be installed in Ibadan since the setup is for a specific DisCo.
Mojisola Abdul, the chairman of Mojec, stated that the meters provided by the federal government are intended to actually increase the nation’s income and electricity supply.
Physically, we have put about 150,000 meters, and they are all free. Don’t give money to anyone. You’re not permitted. We met with the minister and the DG of BPE on Wednesday to discuss how to make things easier for all Nigerians. We refer to it as “mobile registration of free meters.” Your meter will be installed in three days if you register today, she said.
“This is our country,” the minister said in response to the delay in meter installations following months of applications and payments. There will undoubtedly be misgivings and anxieties due to prior experiences. In the past, money was necessary and meter availability was restricted.
However, there are two benefits to this program: first, the volume is already adequate—nearly one million meters have been received, with an additional 1.55 million meters arriving in the second phase. Secondly, the meters must be installed at no cost. The issues encountered in the past will be totally resolved. We met for over two or three hours on Wednesday to go over all of the current issues and potential challenges, and I can promise you that we already have workable solutions for every one of them.
Adelabu also went to the National Meter Test Station in Oshodi, where the Nigerian Electricity Management Services Agency tests meters to make sure they adhere to regulations. Over five million Nigerian consumers are presently underestimated.
