Reported by: Oahimire Omone Precious | Edited by: Gabriel Osa
The Federal Government of Nigeria has formally directed that electricity meters and their installation be provided at no cost to consumers nationwide, a policy shift aimed at closing the long-standing metering gap and improving transparency in power billing. The directive was issued by the Minister of Power, Chief Adebayo Adelabu, during an inspection of newly imported smart meters at APM Terminals, Apapa, Lagos.
Under the policy, electricity distribution companies (DisCos) and meter installers are prohibited from collecting any fees from customers for the supply or installation of smart meters. The government has warned that any DisCo official or installation contractor found demanding payment from consumers will face prosecution, describing such actions as illegal and unacceptable.
The meters are being supplied under the World Bank–funded Distribution Sector Recovery Programme (DISREP), which aims to bridge Nigeria’s metering deficit and strengthen the power sector’s financial health. As part of this initiative, the federal government plans to import approximately 3.4 million smart meters, with recent shipments including about 500,000 new units received at Apapa Port. Nearly one million meters have already been delivered under the programme, and close to 150,000 have been installed across the country in initial rollout phases.
Officials say the provision of free meters and installation services is intended to enhance fairness and transparency in electricity billing, reduce reliance on estimated billing, and improve consumer trust by ensuring that usage is accurately recorded. According to the Minister, comprehensive metering will also bolster revenue collection and improve liquidity in the sector, creating conditions for more reliable service delivery.
While the policy mandates that customers should not pay for meters or installation, some electricity distribution companies have expressed reservations, arguing that the cost of procuring and installing the meters must ultimately be recovered through tariff structures over time. DisCos have raised concerns about financial sustainability and the role of independent installers, noting that costs borne by distribution operators could affect their fiscal positions. Government authorities have pushed back against these claims, emphasising that the free metering initiative will be closely regulated and should not impose undue burdens on consumers.
The move is part of broader efforts by the government to modernise Nigeria’s power infrastructure and address long-standing inefficiencies. Free smart meters are expected to eliminate arbitrary billing practices, encourage consumers to pay based on actual usage, and promote investment confidence in the power sector. The government has also outlined mechanisms for consumers to report illegal charges or extortion by installers or DisCo officials, reinforcing enforcement of the new policy.
Critics and industry observers note that the success of the initiative will depend on effective implementation, timely deployment of meters, and clear regulatory guidance to balance the interests of consumers, distribution companies and the broader goals of sector reform. Nonetheless, the federal government’s stance marks a significant policy shift in Nigeria’s approach to tackling the persistent metering challenge.
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