Get Guardian on GoogleThe Nigerian Electricity Regulatory Commission (NERC) has approved N30 billion for the third tranche of the Meter Acquisition Fund (MAF), bringing the total amount approved under the scheme to N79 billion in an intensified effort to close Nigeria’s electricity metering gap.
The latest approval, contained in Order No. NERC/ 2026/121 on the Operationalisation of Tranche C of the Meter Acquisition Fund, took effect on November 2, 2026. Under the arrangement, the N30 billion will be distributed among 11 electricity distribution companies (DisCos) in proportion to their respective contributions to the fund.
NERC said the money would be used to meter all remaining unmetered Band A customers and accelerate the provision of meters to Band B consumers, with equitable distribution across states within the respective DisCos’ franchise areas.
The latest intervention builds on two previous funding rounds under the Presidential Metering Initiative, which was introduced to address the country’s persistent metering deficit and reduce dependence on estimated billing.
In June 2024, the commission approved N21 billion for Tranche A of the MAF, following the accumulation of N21.86 billion from contributions to the fund as of the April 2024 electricity market settlement cycle.
The first tranche was specifically designed to provide meters for unmetered Band A customers, who were placed on higher electricity tariffs.
following the introduction of the service-reflective tariff regime in April 2024.
The N21 billion was shared among the 11 DisCos according to their contributions, with all meters procured and installed under the arrangement provided to customers at no cost.
However, implementation remained gradual. NERC’s second-quarter 2025 report showed that 107,170 meters had been installed under Tranche A by the end of the quarter. The programme closed in June 2025.
In October 2025, the commission approved another N28 billion for Tranche B, taking the cumulative approval to N49 billion at the time.
The second tranche retained the focus on outstanding unmetered Band A customers while expanding efforts to accelerate metering for Band B consumers.
NERC also introduced procurement and verification requirements, including deadlines for DisCos to select meter providers, verify available stock and ensure that payment was linked to the delivery and installation of meters.
With the latest N30 billion approval, the cumulative amount approved across the three tranches has now risen to N79 billion.
The commission said Tranche C would operate under a transparent procurement framework involving eligible Local Meter Manufacturers and Assemblers (LMMAs) and Meter Asset Providers (MAPs) with verified meter stock.
The requirement is significant given the need to ensure that funding translates into actual meter deployment rather than remaining tied up in procurement arrangements or administrative processes.
The Meter Acquisition Fund was developed partly to address the financial constraints facing distribution companies, whose limited ability to raise debt or attract additional equity had undermined their capacity to finance large-scale meter acquisition.
Under the framework, contributions from the electricity market provide a revenue stream that can support long-term financing for meter procurement and deployment.
But the successive approvals also raise questions about the pace of implementation and the extent to which the funding has narrowed the country’s metering deficit.
The NERC continued intervention comes amidst the scale of the challenge facing metering of end-user electricity consumers in Nigeria, who often billed arbitrarily.
