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The Nigerian Electricity Regulatory Commission (NERC) has approved the release of ₦28 billion to electricity distribution companies (DisCos) for the second phase of the Meter Acquisition Fund (MAF) scheme, targeting the metering of all remaining Band A customers at no cost.
The new directive, contained in NERC Order No: 2025/10 and effective from October 6, 2025, marks a major step in the Presidential Metering Initiative aimed at bridging Nigeria’s estimated seven-million-unit meter shortfall.
Signed by NERC Vice Chairman Dr. Musiliu Oseni and Commissioner for Legal, Licensing and Compliance Dafe Akpeneye, the order mandates the immediate deployment of funds to DisCos in proportion to their market contributions. Ikeja Electric is set to receive the highest allocation of ₦5.47 billion, followed by Eko (₦4.36bn), Ibadan (₦4.26bn), and Abuja (₦3.31bn). Yola and Jos DisCos will get ₦231 million and ₦794 million respectively.
According to the Commission, the ₦28bn disbursement — known as Tranche B — builds on the earlier ₦21bn tranche concluded in June. “The funds are intended to meter all unmetered Band A customers and to fast-track the closure of the metering gap for Band B customers,” the directive stated.
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Under the order, the meters will be provided entirely free to consumers, with the goal of improving billing transparency, reducing energy theft, and restoring public trust in the power supply chain.
NERC also issued strict implementation timelines. DisCos have 10 days from the order’s effective date to begin transparent procurement and 15 days to submit their chosen Meter Asset Providers (MAPs) for approval. Once cleared, MAPs must deliver their contracted meter stock within seven days for verification — or risk replacement under a “first-come, first-served” rule.
To ensure accountability, the Fund Manager will release 60% of each contract sum upon verified delivery, with the remaining 40% disbursed only after installation is fully confirmed.
Any distribution company found responsible for installation delays will face penalties equivalent to the cost of uninstalled meters, deducted directly from its approved operating expenditure.
“The installation of all meters funded under this tranche shall be completed by 31 December 2025,” NERC stated, warning that compliance would be closely monitored.
With this phase, regulators say Nigeria is edging closer to universal metering — a critical component for accurate billing and consumer confidence — even as the country continues to battle inefficiencies in electricity distribution and revenue collection.
