The Nigerian Electricity Regulatory Commission (NERC) has clarified that not all electricity meters currently being deployed nationwide are free, following growing public confusion over the Federal Government’s metering initiatives and warnings against illegal charges by electricity distribution companies (DisCos).

The clarification was made by NERC Chairman, Mr. Musiliu Oseni, during a radio interview on Saturday, where he explained that meters provided under government-funded programmes are free at the point of installation, while alternative paid options remain available for customers who are unwilling or unable to wait for deployment.

According to Oseni, meters supplied under the World Bank-supported Distribution Sector Recovery Programme (DISREP) are fully funded by the Federal Government and must be installed for consumers at no cost.

“The meter provided by the government is 100 per cent free. The DISREP meter is free because it is paid for by the government. DisCos are required to install them without collecting any money from customers,” he said.

He stressed that electricity distribution companies are prohibited from demanding payment for DISREP meters, noting that cost recovery does not involve upfront charges to consumers.

“If you get the free meter, you are not to pay anything. No DisCo is allowed to collect money from customers because of a DISREP meter,” Oseni stated.

However, the NERC chairman explained that the Meter Asset Provider (MAP) scheme remains in operation for customers who may not want to wait for the rollout of free meters due to timing or logistical constraints.

“Those in areas where it will take time before the free installation gets to them, and who cannot wait, can decide to pay under the Meter Asset Provider scheme. But they must ensure payment is made to an approved company, not an individual,” he said.

Oseni advised consumers to be vigilant, noting that free meters can be identified by inscriptions on the device. “If you look carefully at the free meters, after the name of the DisCo, you will see ‘DISREP’ written on them,” he explained.

He said NERC introduced multiple initiatives to close Nigeria’s metering gap after assessing the financial difficulties faced by DisCos in accessing loans from commercial banks.

“When we evaluated the situation, we realised it would be difficult for DisCos to attract financing, so we introduced targeted initiatives to address the metering deficit,” he said.

Oseni added that customers who previously paid upfront for meters under approved arrangements are entitled to refunds, while those who receive free meters would recover the cost indirectly through tariffs over time.

The clarification follows a recent warning by the Minister of Power, Mr. Adebayo Adelabu, during an inspection of newly imported smart meters at APM Terminals, Apapa, Lagos. Adelabu said the meters, procured under DISREP, must be installed free of charge for consumers, regardless of tariff band.

“Nobody should collect money from any consumer. It is an offence for officials of distribution companies or their installers to request any payment before installation,” the minister warned.

Despite the directive, some DisCos have raised concerns about the financial implications of the policy, arguing that although customers do not pay upfront, the cost of meters would still be borne by the companies over time. Some operators, speaking anonymously, described the initiative as politically driven and lacking adequate consultation with key stakeholders.

The Bureau of Public Enterprises (BPE) later addressed the concerns, insisting that consumers ultimately pay for all electricity infrastructure through tariffs. The Director-General of BPE, Mr. Ayo Gbeleyi, dismissed claims that DisCos were being forced to repay meter costs over a fixed 10-year period, describing such assertions as misleading.

“Every component of investment made by DisCos—whether transformers, feeder pillars or meters—is recovered through the tariff structure. Consumers ultimately pay for these assets, but not through direct or upfront charges,” Gbeleyi said.

He reiterated that unmetered customers, estimated at about 5.9 million nationwide, are not expected to make direct payments for meters.

Oseni also recalled President Bola Ahmed Tinubu’s campaign pledge to close Nigeria’s metering gap, noting that the DISREP programme marked the beginning of that commitment. He added that a separate presidential metering initiative is currently undergoing procurement under the Office of the Special Adviser to the President on Energy.

With the clarification, NERC said consumers should now better understand why some meters attract costs while others are provided free, urging the public to report any illegal charges by DisCos to the commission.