The Nigerian Electricity Regulatory Commission (NERC) has issued a regulation to increase the unit costs of end-use meters under the Meter Asset Provider and National Mass Metering of single-phase meters (4G, smart) from N58,661.69 to N81,975.16(31.16%) and Three Phase Meter from N109,684.36 to N143,836.10 (39.6%) taking into account effect from Wednesday, September 6, 2023.
This was revealed in a statement with order no: NERC/2023/020signed by Sanusi Garba, NERC Chairman, and Dafe Akpeneye, Commissioner, Legal, Licensing & Compliance, dated and obtained by EnergyDay on Wednesday.
According to the NERC’s statement, tagged Order on the Price Review of MAP Meters”, the new costs will also include Nigerian Electricity Service Agency (NEMA) sealing cost of N842.80 per unit and N1,100.80 per unit for the two-meter types.
NERC said, “This order takes effect from Wednesday and remains in force until amended or revoked by subsequent orders issued by NERC.
“The Commission is mandated by section 114 of the Electricity Act 2023 to ensure that no license shall supply electricity, after the expiry of the state-appointed by Commission, except through installation of proper meters in accordance with the regulations made in this regard.
NERC, speaking on the reason for the review, stated that it is providing the cost of the meters issued by MAPs, inclusive of all other associated costs of installation and warranties based on macroeconomic indicators including inflation and changes in the foreign exchange rates.
The Commission emphasised that it considered relevant data on the significant changes in macroeconomic indicators from the Central Bank of Nigeria (CBN) and the National Bureau of Statistics as benchmarks for the meter price review.
NERC therefore noted that the new prices for prepaid meters will ensure fair and reasonable pricing of meters to both Meter Asset Providers (MAPs) and end-use customers.
It said the new pricing structure will allow MAPs to recover reasonable costs associated with meter procurement and maintenance while ensuring that their pricing structure allows for a viable return on investment. It added that the affordability of meter services for consumers will be evaluated to prevent excessive pricing that could burden end-users.
NERC emphasised that the new pricing structure will also ensure that MAPs are able to provide meters to end-use customers in the prevailing economic realities.