Nigeria moves to bridge electricity metering deficit with free meters

Nigeria has embarked on a bold initiative to bridge the electricity metering deficit in the country through the implementation of a free metering program. The mass metering program, which is being spearheaded by Nigerian electricity distributors, aims to encourage local manufacturing of meters and enhance the efficiency of the electricity supply industry in the nation. The first phase of the program, known as 'Phase 0', will see the distribution of approximately one million electricity meters that are already available in the country. This move is expected to address the longstanding issue of inadequate metering infrastructure, improve customer satisfaction, and reduce disputes related to billing within the sector. George Etomi, Director of the Eko Electricity Distribution Company, shared insights on the progress of the program and shed light on the key phases and objectives during an interview on CNBC Africa with Kenneth Igbomor. The accelerated metering initiative is set to provide funding to the electricity distribution companies through collaborations with banks to facilitate the deployment of meters and close the metering gap of nearly seven million units. The program is structured into three phases to streamline the manufacturing and distribution process effectively. In the first phase, which is already underway, existing meters within the country will be allocated and disbursed nationwide. Subsequent phases will focus on encouraging local manufacturers to assemble meters using completely knocked down parts and creating more value-added opportunities in the sector. Etomi emphasized the dynamic nature of metering, highlighting the need for both filling the existing gap and replacing old meters with shelf lives up to 10 years. The evolving market presents significant growth potential for investors in metering manufacturing as the program unfolds. However, concerns have surfaced regarding the capacity of local manufacturers to meet the current demand. While manufacturers assert their readiness to scale production, challenges such as lead times for acquiring parts remain a consideration. To address these issues, the phased approach will enable manufacturers to align their operations with the program's requirements and enhance local production capabilities. The strategic distribution of meters amongst the various electricity distribution companies is a crucial aspect of the program to ensure equitable coverage and efficient deployment. Etomi confirmed that comprehensive planning and enumeration have been conducted by the distribution companies to allocate meters based on territorial needs and client requirements. Despite variations in the sizes and coverage areas of the distribution companies, efforts have been made to streamline logistics and ensure a systematic metering process across regions. Additionally, concerns have arisen regarding consumer awareness about the metering program, with some individuals unaware of the free meter distribution. Etomi emphasized the importance of ongoing awareness campaigns conducted by the distribution companies and regulators to educate consumers about the initiative. He also addressed the issue of consumers who have previously paid for meters, assuring that mechanisms are in place for these individuals to recover their costs over a specified period. The focus remains on sustaining awareness through diverse channels such as radio, print, and online platforms to reach all consumers effectively and promote transparency in the metering program.