The Federal Government has mandated that electricity distribution companies must replace any meter that is phased out as part of an upgrade, ensuring customers are not left without proper metering.
According to The PUNCH, this directive, issued through the Nigerian Electricity Regulatory Commission comes amid concerns that older meters, particularly Unistar models, may soon become obsolete due to technological advancements.
While NERC has not officially ordered the phase-out of Unistar meters, the commission has clarified that the ongoing technological upgrades will eventually render these meters unusable, making it impossible for customers to purchase electricity tokens.
NERC’s Vice Chairman, Musiliu Oseni, said “there is no directive yet on phasing out Unistar meters,” but Discos are currently managing the issue operationally due to the Token Identifier Rollover, a system that affects the vending process for these older meters.
Oseni further explained that Unistar meters are not compatible with the necessary upgrades, meaning they will need to be removed and replaced.
“Operationally, if they say those meters are not upgradable, they can decide to phase them out. But as they remove the meters, based on the rule, they must replace them. It is the responsibility of the Discos to replace them,” he said.
He also emphasized that during this phase-out process, no customer should be subjected to estimated billing or denied access to electricity.
If customers are required to purchase new meters under the Meter Asset Provider framework, Discos must offer a transparent process for refunds. Oseni stressed that “for Discos to remove the meter, they must make sure a mechanism for replacement happens, either vendor financing, Disco financing, or if it is MAP to be funded by the customer; but the customer must be aware that they would be refunded.”
As Nigeria continues to grapple with a significant metering gap—estimated at seven million units—some Discos are pressing customers to acquire new meters before a November 14, 2024, deadline.
However, this approach has sparked concerns among consumer advocacy groups.
In response, the All Electricity Consumer Protection Forum has called on Ikeja Electric and Eko Electricity Distribution Company to halt the decommissioning of Unistar meters until NERC provides formal approval.
In a letter dated October 15, 2024, signed by the forum’s National Coordinator, Adeola Samuel-Ilori, the group expressed disappointment over the premature phase-out, stressing that the Discos must wait for regulatory guidance and ensure a replacement plan is in place.
The phased replacement of meters is seen as a critical step to modernize Nigeria’s electricity infrastructure. However, the process must be carefully managed to avoid disruptions and ensure fairness for consumers, who are often left bearing the financial burden of upgrades in a sector already marked by inefficiencies.
