The Nigerian Electricity Regulatory Commission (NERC) has announced deregulation of meter prices under the Meter Asset Provider (MAP) Scheme for end-user customers in the country.
The commission made this disclosure in a statement issued on Monday and signed by its Chairman, Mr Garba Sanusi, and the Commissioner, Legal, Licensing and Compliance, Mr Dafe Akpeneye,
The statement reads: “Effective from May 1, the new order will introduce a competitive bidding process, allowing customers to choose from a variety of authorised vendors.
“This will mark a significant shift from the previously regulated pricing structure.”
“The deregulation lifts previous restrictions allowing all MAP permit holders to provide services across all Electricity Distribution Companies (DisCos) in Nigeria, provided they meet specific requirements.
“This broader operational scope is anticipated to increase competition among MAPs, potentially leading to better services and innovations in metering solutions”, it added
The NERC stated that with the latest directive DisCos had been mandated to ensure that smart meters provided by MAPs were integrated into their head-end systems and meter data management systems.
In addition, it stated that the DisCos “must provide a publicly accessible online portal displaying their technical specifications and commercial terms for MAP participation.
“This is to ensure a standardised approach to meter installation and function across board.
“With DisCos required to complete these evaluations within 20 working days from when a MAP meets all specified requirements.
“Meters that fail the confirmation test must be promptly reported to the MAP with details on the failure points.
“DisCos can now offer basic electronic meters, Internet of Things (IoT) meters, DIN rail meters, and current limiters, depending on the customer’s energy consumption profile.
“While deregulating meter prices, NERC will oversee the submission of price offers from MAPs to ensure fair competition.
“This includes a requirement for MAPs to hold a minimum stock of 2,000 units of meters as an eligibility criterion for participation in the bidding process”, the statement added.
The commission further clarified that end-use customers now have the sole right to choose their preferred MAP and meter types, which aligns with their specific energy needs, adding that stringent measures had been put in place to ensure timely installation of meters with penalties for MAPs that failed to meet installation deadlines.
Analysts believe that with the latest directive, the DisCos are now better positioned to supply meters to their needy customers based on the cost of the meter and other operational expenses associated with procuring them from the MAPs.
