The Nigerian Electricity Regulatory Commission (NERC) has approved ₦30 billion for the third phase of the Meter Acquisition Fund to provide free electricity meters to unmetered Band A customers and accelerate installations for Band B consumers.

The approval, contained in Order No. NERC/2026/121, took effect on November 2, 2026, as part of efforts to bridge the country’s metering gap and improve transparency in electricity billing.

Under the arrangement, the fund will be distributed among the 11 electricity distribution companies (DisCos) based on their respective contributions to the scheme.

NERC directed the distribution companies to ensure transparent procurement processes involving eligible local meter manufacturers, assemblers and Meter Asset Providers with verified meter stocks.

The commission also introduced a two-stage payment arrangement for meter suppliers, with 70 per cent of the contract sum payable after verification of delivered meters and the remaining 30 per cent after confirmation of successful installation.

It emphasised that all meters provided under the programme must be installed free of charge, warning electricity distribution companies and their agents against demanding payment from customers.

The regulator further directed that meters supplied under the initiative must carry the name of the relevant distribution company, the applicable funding tranche and the inscription, “NOT FOR SALE”.

NERC also clarified that distribution companies must bear the cost of relocating existing customer connection points where such relocation is initiated for revenue protection purposes.

The commission warned that sanctions would be imposed on distribution companies whose defaults frustrate the implementation of the programme.

It added that all supply and installation contracts must be submitted for regulatory monitoring to ensure accountability and compliance.

NERC fixed May 31, 2027, as the deadline for completing all installations under the third tranche of the Meter Acquisition Fund.

The commission said the initiative was designed to strengthen revenue assurance, improve electricity service delivery and protect consumers from estimated billing.