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Discos’ Upgrade Could Push 3M Subscribers to Estimated Billing

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Millions of Nigerians Face Metering Crisis Amid Upgrade Challenges

Approximately three million electricity customers in Nigeria may face disruptions, including a return to estimated billing or total darkness, due to an unresolved need to upgrade their prepaid meters. Consumer groups estimate that half of the country’s nearly six million metered customers could be impacted by this policy, with critics citing lapses in consumer education and preparedness by the authorities and distribution companies (DisCos).

NERC’s Ultimatum

The Nigerian Electricity Regulatory Commission (NERC) has consistently urged Nigerians to upgrade their meters before the November 24, 2024, deadline. This upgrade involves issuing two free Key Change Tokens (KCT) to ensure compatibility with the updated system. NERC insists the process is free and does not affect prepaid balances.

“From November 24, 2024, you may not be able to recharge your meter without updating,” the commission warned, emphasizing that DisCos are responsible for the seamless implementation of this policy.

Complaints from Customers

Despite these assurances, numerous customers have reported difficulties in upgrading their meters. Issues range from technical glitches to outright refusals by DisCos to process upgrades, with some customers being asked to pay for replacement meters.

In Lagos, the phased replacement of Unistar meters has sparked outrage, with consumers alleging exploitation. Unistar producers, however, maintain that their meters are upgradable, disputing claims of obsolescence.

Regulatory Intervention

The Federal Competition and Consumer Protection Commission (FCCPC) has intervened, urging DisCos to halt the replacement of meters at consumers’ expense. FCCPC boss Tunji Bello condemned practices requiring customers to pay for replacements, calling them a breach of NERC regulations. He also emphasized that customers must not be subjected to estimated billing due to delays in meter replacements.

NERC echoed these sentiments, directing DisCos to adhere to its 2021 order, which mandates free replacement of faulty or obsolete meters, provided the fault is not customer-induced.

Consumer Backlash

Customers across the country have voiced frustrations over being placed on estimated billing or asked to pay exorbitant replacement fees.

For instance, a property manager in Lagos reported that tenants in a block of flats were billed ₦268,000 monthly under an estimated billing system after their meters were phased out. “How does a three-bedroom flat consume ₦268,000 worth of electricity in a month?” he lamented.

Others, like customers in Port Harcourt and Abuja, have been left without power for months due to unresolved meter issues.

DisCos Defend Their Actions

The Association of Nigerian Electricity Distributors (ANED) maintains that replacing outdated or faulty meters is essential for operational efficiency. ANED Executive Director Sunday Oduntan assured Nigerians that replacements would be free.

“We are losing money due to energy theft through bypassed meters. Any meter that enables such theft will be replaced at no cost to the consumer,” Oduntan stated.

The Way Forward

With complaints piling up, stakeholders are calling for better coordination between NERC, FCCPC, and DisCos to ensure consumer protection and compliance with regulations. Advocacy groups argue that more decisive action is needed to prevent exploitation and restore confidence in the electricity supply system.

As the crisis continues, millions of Nigerians await a resolution to avoid being plunged into darkness or subjected to unfair billing practices.

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