NERC Deregulated Meter Rates Under MAP

The Nigerian Electricity Regulatory Commission (NERC) has announced the deregulation of meter rates for end-user consumers through the Meter Asset Provider (MAP) Scheme.

This is according to a statement issued by the commission in Abuja on Monday and signed by Mr Garba Sanusi, Chairman of Nigerian Electricity Regulatory Commission NERC, and Mr Dafe Akpeneye, Commissioner of Legal, Licensing, and Compliance at NERC.

The statement read: “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.”

According to the ruling, all meter costs under the MAP plan would be established through competitive bidding.

The commission stated that the decision was likely to increase transparency and lower prices because users will be able to choose their preferred meter provider from those authorized under the system.

“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 said.

According to the regulation, Discos must ensure that MAP-provided smart meters are easily integrated into their head-end and meter data management systems.

“Furthermore, they 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,” it said.

According to the order, extensive testing and confirmation procedures for new meters have been established.

“With Discos are 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,” it said.

The commission stated that deregulation allowed for greater flexibility in the types of meters accessible under the MAP program.

“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 commission stated that end-user customers now have the sole right to select their preferred MAP and meter types according on their unique energy requirements.

It further stated that strict controls have been put in place to ensure that meters are installed on schedule, with penalties imposed on MAPs who fail to fulfill installation deadlines.