NERC Approves Deregulation Of Meter Prices

The Nigerian Electricity Regulatory Commission (NERC) has issued an order, ORDER NO: NERC/2024/040, which deregulates the prices of meters deployed under the Meter Asset Provider Scheme.

Gatekeepers News reports that the order, issued on Monday by NERC Chairman, Engr. Sanusi Garba and Commissioner Legal and Licensing Compliance, Barrister Dafe Akpeneye, adjusts the price of a single-phase meter from N58,661.69 to N81,975.16 and the price of a three-phase meter from N109,684.36 to N143,836.10.

The Meter Asset Provider and National Mass Metering Regulations provide for the metering of end-use customers of successor electricity distribution licensees (‘DisCos’).

According to the Regulations, the cost of single-phase and three-phase meters for MAPs, inclusive of all other associated costs of installation and warranties, shall continue to be at the regulated rates approved by the Commission.

However, the Meter Asset Providers (MAPs) and Local Meter Manufacturers Associations (LMMAs) have requested a further review of meter prices in consideration of significant changes in the NGN/USD foreign exchange rate and inflation rate since the last price review in September 2023.

The significant changes in these macroeconomic variables have constrained their ability to supply meters at the approved regulated price.

“The Commission has noted the need for the efficient pricing of meters to respond more quickly to changes in macroeconomic parameters, particularly exchange rates. The Commission has further taken cognisance of the
constraints/challenges faced by MAPs and LMMAs and therefore approved the deregulation of prices of meters deployed under the MAP scheme with effect from 1 May 2024.

“The cost of prices of meters deployed under the MAP scheme is HEREBY DEREGULATED to enable end.use customers acquire meters from MAPs of their choice based on competitive open market prices determined from
transparent bidding frameworks.”

“All MAP permits holders are henceforth eligible to provide services and transact for the provision of meters and metering services with any DisCo in the Federal Republic of Nigeria with their existing permit. The lifting of the
restriction on permitting to operate in all DisCos is subject to the mandatory requirement for MAPs to comply with the associated DisCo specific requirements/specifications.

“All DisCos shall ensure the effective and seamless integration of smart meters deployed by MAPs with the DisCo’s head-end systems and meter data management systems.

“All DisCos shall provide a publicly accessible online portal on their website where prospective MAPs can view the DisCo’s technical specifications and commercial terms for participation as a MAP within its network area.

“All DisCos are required to conduct a thorough test and confirmation of specifications for new meters proposed by a prospective MAP and concluded no later than 20 working days from the date the proposed MAP fulfils all the requirements specified on the online portal to participate within its network area. Where a meter fails the confirmation test, the DisCo shall immediately notify the MAP stating the points of failure.”