NERC Mulls Three Metering Options to Eliminate Estimated Billing

The Nigerian Electricity Regulatory Commission (NERC) is considering three innovative options to improve the metering obligations of electricity distributions companies (Discos) to their customers, with a view to eliminating the regime of estimated billing of consumers by Discos.

According to a document the commission posted on its website, the three options under consideration are Meter Service Providers (MSP) scheme, modi- a lease basis including replacement of faulty and obsolete meters, but will also enter into medium to long term meter service agreements with Discos which would then integrate in their vending systems provisions that allow the MSPs to get deductions from customers’ vending.

Likewise, it explained that guarantees for this financing option could come from the World Bank or the N39 billion metering loan recently disclosed by the federal government.

In terms of obligations within the MSPs, NERC stated that Discos would provide details of customer base for the scheme to provide financing, the MSPs would provide financing for procurement, installation and maintenance of metering infrastructure, while NERC will approve all metering agreements between Discos and MSPs.

Also, MSPs would be expected to supply meters to Discos Discos based on supply and installation contract, Discos