FG Bans Meter Installation Charges, Warns DisCos of Prosecution: Here is why
FG Bans Meter Installation Charges, Warns DisCos of Prosecution. In a decisive move to protect electricity consumers from systemic exploitation, the Federal Government has officially imposed a nationwide ban on all fees related to the installation of new prepaid meters. The FG bans meter installation charges directive was issued by the Minister of Power, Chief Adebayo Adelabu, during a high profile inspection of 500,000 newly arrived smart meters at the APM Terminals in Apapa, Lagos.
This latest consignment is part of the World Bank funded Distribution Sector Recovery Programme (DISREP), a multi billion naira initiative specifically designed to eliminate the estimated seven million unit metering gap that has plagued the Nigerian Electricity Supply Industry for decades.
The motivation behind this stern prohibition is rooted in the government’s commitment to transparency and the total elimination of “estimated billing,” which the Minister described as a major barrier to the sector’s financial viability. By providing these meters free of charge, the Federal Government aims to restore consumer trust and ensure that every household and business pays only for the energy they consume.
Adelabu emphasized that any Distribution Company (DisCo) official, manufacturer, or third party installer who requests payment, under any guise, is committing a criminal offense. “We will not tolerate any partner undermining this initiative through the extortion of Nigerians,” the Minister vowed, noting that such actions would be met with swift prosecution.
Strengthening Enforcement and Whistleblowing
To ensure that the FG bans meter installation charges order is strictly followed, the Ministry of Power has established several monitoring and enforcement mechanisms:
- Customer Complaint Desks: Nigerians are encouraged to report any extortion attempt or request for “installation fees” directly to a new specialized desk.
- Whistleblower Tips: The government is calling on citizens to provide verifiable information on erring officials, promising that confirmed cases will lead to public prosecution to serve as a deterrent.
- NERC Oversight: The Nigerian Electricity Regulatory Commission (NERC) is set to issue a fresh circular outlining strict protocols that DisCos must follow to ensure unhindered access for meter deployment teams.
The scale of the current rollout is unprecedented. Out of a planned 3.4 million smart meters, nearly one million units have already landed in the country, with approximately 150,000 successfully installed across various regions. Unlike previous efforts, these meters are equipped with anti theft protocols and are customized for specific DisCos, making them unusable outside their designated networks. This technical safeguard is intended to prevent the diversion of government funded equipment into the black market.
The Federal Government’s message is clear: the era of paying for “free” meters is over. By removing the financial barrier to metering, the administration expects to improve revenue collection for the sector, which in turn will provide the liquidity needed to upgrade infrastructure and stabilize the national grid. For the average Nigerian, this means a fairer billing system and a direct path to escaping the trap of arbitrary charges.