The Nation Newspaper

Tag: meter

  • Consumers heave sigh of relief as govt halts meter replacement

    Consumers heave sigh of relief as govt halts meter replacement

    Citing non-compliance with the Nigerian Electricity Regulatory Commission’s [NERC] order, the Federal Government has directed the Ikeja Electricity and Eko Electricity discos to immediately halt their replacement of Unistar prepared meters billed to begin from Tuesday, 14th November.

    Since the Discos intimated their customers about this replacement, many of them have been thrown into confusion, and fear of being made to bear the cost of the replacement after they had spent thousands on acquiring the old meters.

    The Discos recently issued notices to their customers regarding the upcoming phase-out of Unistar prepaid meters due to the Token Identifier [TID] rollover issue.

    The notice urged all affected customers to update their meters to avoid service disruptions. In a public statement, for instance, Ikeja Electric explained, “Dear esteemed customer, please note all Unistar meters will be phased out by 14th November 2024 as TID rollover beckons.”

    The company encouraged customers to take prompt action by visiting their online portal to apply for a new prepaid meter.

    The phase-out, a response to the technological limitations of the older meters, has sparked concerns among consumers about potential replacement costs and possible disruptions to their electricity service.

    However, the DISCO communication was brief, leaving many consumers uncertain about the details of the transition and what steps they should take.

    According to the Vice Chairman of the Federal Competition and Consumer Protection Commission, (FCCPC)  Mr. Tunji Bello, the announcement lacked critical information regarding whether consumers would be liable for the replacement costs, raising fears that the transition could lead to arbitrary estimated billing and undue financial strain on consumers.

    Read Also: Tinubu cautions graduates on greener pastures

    A desperate message from a troubled Ikeja Electric customer to the FCCPC portrays the feelings of many of the customers.

    According to the text message “Good evening FCCPC. The exploitation of IKEDC on the change of meter is unacceptable. I have working meters in my house in GRA and they have given a deadline to change meters that ultimately belong to them without bearing some cost. To change the meters in my house will cost about N1m. Please kindly intervene. This is too much to bear at this difficult time, thank you”.

    The FCCPC’s Executive Vice Chairman and Chief Executive Officer, read out this text at a stakeholders’ meeting held at the FCCPC headquarters in Abuja which was attended by representatives from the NERC, the Nigerian Electricity Management Services Agency (NEMSA), various electricity distribution companies (DISCOs) and Unistar Hitech Systems Limited to address pressing metering issues impacting Nigerian consumers.

    To prevent potential exploitation, the FCCPC directed that all meter replacement processes be conducted transparently, with costs borne by the DisCos and not passed on to consumers.

    Mr. Bello stressed that the FCCPC would enforce strict compliance with these regulatory requirements to protect consumers from arbitrary charges and estimated billing.

    The FCCPC’s directive to discontinue the replacement process stems from the DisCos’ non-compliance with NERC’s “Order on Structured Replacement of Faulty and Obsolete End-user Customer Meters in the Nigerian Electricity Supply Industry.” Both NERC and NEMSA endorsed the FCCPC’s stance on the issue.

    The NERC’s order mandates that DisCos must prioritise metering for unmetered customers under the National Mass Metering Programme (NMMP) and follow strict guidelines for replacing faulty or obsolete meters. These guidelines require DisCos to inspect faulty meters and provide detailed information in the replacement notice, including the inspection date, the inspecting officer’s credentials, the identified fault, and the scheduled replacement date. Furthermore, DisCos are prohibited from placing customers on estimated billing due to delays in meter replacement, as new meters must be installed immediately upon removing any faulty or obsolete unit.

    The Federal Competition and Consumer Protection Commission also urged electric distribution companies (DISCOs) to carry energy consumers along before classifying them into bands and also adhere strictly to industry regulations on billing unmetered consumers.

    During the meeting, Mr. Bello highlighted significant issues facing electricity consumers, from billing inaccuracies to inadequate customer care. Mr. Bello noted that systemic inefficiencies and a culture of impunity among some service providers have intensified these issues, leading to the routine exploitation of consumers.

    He expressed concern over practices that require consumers to pay upfront for meters without reimbursement, a direct violation of the NERC Meter Asset Provider and National Mass Metering Regulations 2021.

    He also noted that DisCos frequently places consumers with faulty meters on estimated billing, which is prohibited under NERC’s regulations.

    Bello also said that the FCCPC is committed to enhancing consumer education on metering and billing practices to guard against potential exploitation by service providers.

    He concluded by expressing appreciation for the collaborative efforts of NERC and NEMSA in building a transparent, accountable, and consumer-centered electricity sector. He reaffirmed FCCPC’s dedication to enforcing all relevant consumer protection laws within the electricity industry to uphold consumer rights and promote fair market practices.

    Various consumer bodies have expressed satisfaction with the decision taken by FCCPC. Consumer Advocacy Nig, a non-governmental organization lamented that Nigerian consumers were already under a lot of financial burden and should not be made to bear more burdens.

    “If the Discos want to phase out the old meters they should bear the cost and should also carry consumers along when they take decisions that affect them,” said Barrister Emi Ekelemu, of Consumer Advocacy Nig.

    Cletus Orji, a customer of IKEJA Disco said since he got that message about the installation of the new meter that he had not slept because “I do not know who will bear the cost. All my efforts to get explanations from the energy producer did not yield any fruits. For the time being I will sleep with two eyes closed.”

  • Fed Govt to patronise local meter manufacturers

    Fed Govt to patronise local meter manufacturers

    The minister of power, Adebayo Adelabu, has assured local meter manufacturers of the federal government’s commitment to patronising local meter manufacturers.

    This, he noted, will not only cater to closing the metering gap currently being experienced in the country but will also boost local content development and serve as a tonic to galvanise growth in the industrial sector.

    He gave this assurance during his working visit to Momas Electricity Meters Manufacturing Company Ltd. (MEMMCOL), Mowe, Ogun State.

    Adelabu harped on the importance of sustaining local meter manufacturing, especially given the Presidential Metering Initiatives’ target of installing between two million to 2.5 million meters annually over the next five years, saying it will go a long way to address significantly the metering gaps in the country.

    He, therefore, called for collaborative efforts from all stakeholders to achieve this, especially as it aligns with President Bola Tinubu’s administration’s agenda of “Renewed Hope.”

    “We will also prioritise patronage, ensuring sustainability in their operations, aligning with President Bola Tinubu’s renewed hope agenda. It is a must to have significant local content in the power sector’s projects and contracts,” Adelabu said, adding that this is the only way local producers can sustain their operations.

    The minister further highlighted plans to introduce legislation mandating local content in the power sector, stressing the necessity of comprehensive plans for full backwards integration and technical training including providing access to affordable funding and long-term capital, which he said is necessary to start developing capacity in terms of investment infrastructure and also mass production.

    Describing MOMAS as “our proud local meter manufacturing company in Nigeria,” Adelabu praised the firm, saying its investment in metering and other electrical equipment is topnotch. He therefore promised to engage with regulatory bodies to expedite meter acquisition plans, to address urgently the widening metering gap currently being experienced in the country.

    “I visited the meters manufacturing company to see how they can be supported. It’s part of my visit to see how they can be supported through the meter expansion programme of the Ministry of Power. We know that Nigeria is a highly import-dependent country, and this is one of the reasons our currency has lost value.

    Read Also: Minister, experts drum support for viable welding industry

    “But it is one of the intentions of the government to ensure we are back on the import substitution journey and the only way we can do this is to support local manufacturers. Apart from support, we must also grant them incentives by providing a conducive atmosphere that we make their production activities in terms of cost to be competitive,” Adelabu expressed, hailing the investments made by the firm in meter infrastructure.

    The Chairman/Chief Executive of MOMAS, Mr. Kola Balogun, thanked the minister for his support and stressed the need for sustained government commitment to local industries. He highlighted his firm’s capability in producing high-quality meters and appealed for increased government support to facilitate raw material procurement and potentially explore export opportunities, with an assurance that MOMAS, as the only Original Equipment Manufacturer (OEM) in meter production in the country, is poised to meet Nigeria’s metering needs.

    “We design meters from scratch and our capability in this regard is not in doubt because we complied with all the various standards that Nigeria has set and also global best practices in terms of design.

    “Virtually all DisCos are our partners. We also supply meters to Liberia, Sierra Leone and other African countries, but the volume Nigeria needed supersedes any volume in Africa,” he said

    “The local patronage is still very much needed to be able to meet up the investment threshold that we have done in the country today,” Balogun appealed.

  • Sahara: We lose 40 per cent of generated energy to meter bypass

    Sahara: We lose 40 per cent of generated energy to meter bypass

    Sahara Power Group, Managing Director, Kola Adesina, on Friday, February 23, bemoaned the loss of electricity to thefts, stressing it lost 40% of its power generation to a meter bypass.

    He said that the group experiences a daily loss of approximately 40 percent of generated power due to energy theft and meter bypass.

    Adesina disclosed in a presentation at the 4th Seminar for Judges organised by the Nigerian Electricity Regulatory Commission (NERC) at the National Judicial Institute (NJI) complex in Abuja.

    The group also owns Ikeja Electricity Distribution Company Limited.

    He lamented that the country’s value system is impacting negatively on the power space.

    He said: “The value system is eroding everything common sensical and universal within the power space. I doubt if we will see light at the end of the tunnel if we continue with the current practice.”

    According to him, the revenue assurance from the system is not sustainable, owing to the attitude of the Ministries Departments and Agencies (MDA).

    The Sahara boss urged customers to pay their bills for the DisCo to improve on quality power delivery.

    He warned that the attitude poses a challenge to the operation if it is not addressed.

    Read Also: Hyde Energy renews sponsorship of Lagos Polo Tourney

    “The revenue assurance is not sustainable and the MDAs are involved in this. I want to hope that people pay their electricity bills.

    “Pay for our power as that is the only way we can improve on the quality of service. If we continue this way, we will have a big issue.

     He called on the judiciary to assist the energy distributor in tackling the issues.

    According to him, “We need the judiciary to help us in solving some of these problems. Judges have their cases but based on what you have heard today, I would like to indulge you to collaborate with us towards resolving the issues in the power sector.”

    He called on the judges to have a competent bench that appreciates the electricity market.

    Adesina said: “My lords, the support we are seeking is not that you give a ruling in our favour, the support that we are asking for is to have a competent bench that understands when you hear about capacity payment, availability payment, MYTO, why are the tariffs being reviewed; to understand these issues so there can be a clear, consistent and logical judicial precedent.

    “That is what we are asking for and we believe that with engagements like this, we will continue to build our capacity.”

  • Meter manufacturers withdraw case against govt

    Meter manufacturers withdraw case against govt

    The Association of Meter Manufacturers of Nigeria (AMMON) has formally withdrawn a court case it instituted to stop the procurement process for phase two of the National Mass Metering Programme (NMMP).

    This decision was taken after the intervention of the Minister of Power, Chief Adebayo Adelabu at a stakeholder meeting held at the Federal Ministry of Power, where all the association’s concerns were tabled before the Minister.

    In attendance at the stakeholders’ meeting were the Chairman, NERC, represented by Mr. Nathan Shatti; Commissioner, Finance and Administration, Dr. Alex Okoh; the Director General, Bureau of Public Enterprises (BPE), Managing Director of the Transmission Company of Nigeria (TCN), and other directors in the Federal Ministry of Power.

    It should be noted that the World Bank is funding only 1.2 million meters.

    Read Also: Dangote refinery to have 18 ultrasonic flare gas meters

    During the meeting, the Minister promised that AMMON members will be accommodated in the procurement process for the World Bank funded NMMP phase 2 through a national competitive bid.

    The government also agreed to work with the local meter manufacturers to implement other metering initiatives to address the huge metering gap in the power sector.

    President, Association of Meter Manufacturers of Nigeria (AMMON), Engr. Ademola Agoro said the association was happy with Adelabu’s reaffirmation of government’s determination to ensure that Nigeria becomes self-sufficient in local meter manufacturing and production to close the huge metering gap of over 8.0 million meters.

    “Though this is a painful decision for the members of the association, the decision to discontinue the court case stopping the procurement process was done in national interest and because of liquidity challenges of the power sector.

    “We therefore seek the support of all stakeholders to work with the association to develop the metering sector and the backward integration programme of the federal government,” Agoro said.

  • Meter providers strategise to start operation

    Peter Asset Providers (MAPs) approved by the Federal Government, to bridge the metering gap of 4.7 million are strategising to achieve the objective, it was learnt at the weekend.

    The firms, it was gathered, have sourced for local and international associations, with a view to understudying them and getting the required knowledge for the job.

    This, the source said, was done to meet up with the difficulties of meeting the needs of consumers in the six geo-political zones of the country.

    According to the source, who spoke on condition of anonymity, the firms have evolved a partnership arrangement with the 11 power distribution companies (DisCos), as stated in the metering guidelines given to them by the Nigerian Electricity Regulatory Commission (NERC).

    Electricity Meter Manufacturers Association of Nigeria (EMMAN) Executive Secretary, Mr Muhideen Ibrahim said the task is rigorous and that the approved companies, have decided to give the job the seriousness it demands to achieve success.

    He said the firms have done their jobs well and are ready to carry out the responsibilities given to them by the Federal Government.

    The approved MAPs, he said, may have started operation on (May 1), as scheduled, adding that that they have signed a Memorandum of Understanding (MoU) with the DisCos on the issue.

    Ibrahim said: ‘’The DisCos have procedures for variations and pricing of meters and I hope the meter asset providers are going to operate in line with the requirements of the firms.”

  • The challenge of estimated billing

    The best way to ensure the balance between the energy supplied and what an electricity customer consumes is to install a meter. And such a metering device can be either pre-paid or post-paid.

    Estimated billing occurs when a customer does not have a meter. Generally, no electricity distribution company (DisCo) makes estimated billing its default billing system. However, a review of electricity utility billing practices, world-wide, would indicate that estimated billing is a standard and conventional tool that is in much use, even in advanced economies.

    In the case of Nigeria, the current metering gap of 4 million customers (2.35 times the 1.7 million metering gap specified in the DisCos’ performance agreements) goes back several years, long before privatisation and we cannot blame the DisCo investors who only took over in November 2013 for the growing historical metering gap.  As a matter of fact, the National Pre-Paid Metering Program (NPPMP) initiated by the federal government, prior to the privatisation, sought to address this gap but failed, due to corruption, lack of coordination, inefficiency, etc. The failure to complete metering of customers prior to the privatisation was worsened by the absence of data on the total number of registered customers, now estimated at 7.47 million (likely still an underestimation of the number of customers, with the associated outcome of an even larger metering gap).

    Consequently, the huge metering gap in Nigeria presents a herculean challenge for the DisCos when it comes to measuring the consumption of their unmetered customers. Significantly, there is no more interested party in the comprehensive metering discussion than the DisCos.  And this is because it is estimated that metering alone reduces collection losses by 30 percent. Additionally, it minimizes the alienation of consumers who, often, underpay or do not pay their electricity bills, based on the disputed or crazy bills.

    In recognition of the impossibility of comprehensive metering within the near to mid-term period, the regulator, the Nigerian Electricity Regulatory Commission (NERC) enacted a regulation on Estimated Billing Methodology to guide the DisCos in their billing. Nonetheless, application of the methodology remains a very contentious process, as we have seen cases of over-billing (otherwise known as crazy billing) and cases of under-billing which, we, the consumers never talk about. Understandably, estimated billing is a vexing issue to un-metered customers, due to the perception of overbilling situations.

    In all, I’m of the view that it is very unfair and difficult for both the consumers (in the case of crazy billing) and for the DisCos (in the case of under-billing). The estimated billing regulation provides for fair parameters and indices for the computation of electricity usage for unmetered customers.

    Most times estimated billing is calculated based on the level and quantity of supply in any area and not necessarily driven by collection targets as it is widely believed. For instance, supply in close neighbourhoods may vary due to the type of supply lines and sources, i.e. 11KV lines to 33KV lines, illegal connections, inefficient use of energy. Hence billing would be based on quantity supplied to those neighbourhoods, irrespective of proximity. Still, there is no doubt that the current methodology is convoluted, counterintuitive and not transparent.

    The question to be asked is; how did we get here in the first place? Alas, the power sector was neglected for an extensive period. The metering gap continued for several years unabated, yet we expect miracles within five years of privatisation.  A review of other jurisdictions that implemented electricity reforms with similar metering gaps would indicate that achieving the objective of comprehensive metering is a long-term endeavour, given financial and logistical constraints.

    Regrettably, neither the metering obligation of 1.7 million meters specified under the DisCos’ performance agreements nor the investment assumption under the electricity tariff will get us to the nirvana of comprehensive metering anytime soon. The reasons for this are – a) Meters cost money and someone or some entity must pay for them.  Paying for them means that the cost has to be recovered through a higher tariff that would run counter to the affordability constraint of consumers; b) There is a practical and logistical limitation to purchasing and installing the total number of required meters in the near term; and c) While NERC has recently rolled out the Meter Asset Provider (MAP) regulation that is expected to address the metering gap, this regulation cannot be successfully implemented without consideration of a sustainable commercial framework.  In other words, any operator/provider’s access to debt financing for metering, will be challenged by the reality of a sector that is currently suffering from over N1 trillion of market shortfall and debt.

    I think that it is fair to conclude that the DisCos are not anywhere close to the level of efficiency that was envisioned under the National Electric Power Policy, 2001 (NEPP), the foundation for the subsequent legislation, Electric Power Sector Reform Act, 2005 (EPSRA). But is it reasonable to expect the DisCos to attain the desired level of efficiency, with an emphasis on metering, in an environment of regulatory and policy inconsistency, electricity theft; meter bypassing; overloading of transformers; obsolete infrastructure leading to technical losses; non-cost reflective tariff, etc.?

    Crazy billing is not and will not be acceptable now or any other day.  However, I would suggest that the challenges of estimated billing are best addressed through the prism of a transparent, hardnosed and unbiased assessment of the challenges and methodologies that either exist or that can be devised to address the emotionally charged issue of crazy billing.  For instance, the estimated billing methodology does provide a protocol for disputing a bill that is either excessive or not reflective of the consumer’s consumption pattern.  The MAP regulation is expected to bring both third party meter vendors and associated capital to further ameliorate the metering situation, and expeditiously so. The regulator will need to consider updating the estimated billing methodology to make it more transparent and user friendly, both from the operator and consumer perspective, for ease of respective determination of energy supplied and consumed.  Concerns about manipulated meters are addressed by the Nigerian Electricity Management Service Agency (NEMSA), as part of its mandate to ensure efficient electricity billing and measurement.  NEMSA remains committed to ensuring that only high quality and properly calibrated meters are installed across Nigeria.  Every allegation of meter resetting or fraudulent calibration by DisCos operators is promptly investigated by NEMSA.

    An efficient electricity market is, and continues to be a defined outcome of the power sector reform effort. The elimination of estimated billing, largely, is one of the expected outcomes for an efficient market.  However, attainment of this efficiency is also predicated on other factors such as appropriate electricity pricing, increased generation, efficient regulation, forex availability, consistency of regulation and policy making and implementation, favourable lending terms, and other macro-economic dynamics that, unfortunately, have been absent to date.  Nigerians are anxious to witness a growth in the power sector. Such growth or progression, coming from a background with an order of magnitude of deficiency and inefficiency in the power sector caused by historical neglect, will require an associated order of magnitude of investment, commitment, focus and patience, for its turnaround.

     

    • Prof. Oke writes from Abuja.

  • The meter conundrum

    A new regulation by the Nigerian Electricity Regulatory Commission (NERC) tagged “Meter Asset Provider Regulation, 2018” which takes the sole responsibility of providing prepaid meters away from the electricity distribution companies (DISCOs) is one of the pragmatic decisions by the regulatory agency to deal with a fundamental problem in the power sector. The sector is plagued by quite a number of problems, though, but that of appropriate billing has remained as contentious as ever.

    In the absence of prepaid meters, and with many of the former meters that the DISCOs inherited from their predecessor agencies – the defunct National Electricity Power Authority (NEPA) and the Power Holding Company of Nigeria (PHCN) – not working well, the DISCOS have continued, by and large, to bill consumers on estimates.

    Naturally, this has led to frequent complaints by power consumers, of inequitable billing, as the bills they are given monthly are derived arbitrarily. Although this practice had been there ever before the DISCOs took over in 2013 when the power entities were privatised, resentment against the estimated bills, otherwise called ‘crazy bills,’ has continued to grow, particularly with the privatisation of the sector. Both the government and the DISCOs have been going back and forth on the issue of prepaid meters for long. At a point, government told power consumers not to pay until they were provided with prepaid meters, warning that DISCOs should not disconnect any consumer who refused to pay due to unavailability of the meters.

    Thus, both the power consumers and the government have been presented with a fait accompli; as many people still continue to pay what seems to them reasonable bills in the circumstance, irrespective of what the DISCOs billed them. Unfortunately, the DISCOs have continued to carry forward the debit balances in the bills, some of which cannot be justified, perhaps in the hope that someday, something would happen and those concerned would be forced to pay those questionable bills.

    It is against this background that we welcome the NERC’s decision to take away the sole responsibility of providing meters from the DISCOs. It is obvious, more than four years down the line, that they cannot (or are not willing to) provide the meters and would rather continue to bill consumers on estimates because that enables them to make cheap money off their customers.

    What the new regulation has done is to introduce another class of operators in the power sector called Meter Asset Providers (MAPs). Their job was spelt out by NERC’s Commissioner, Legal, Licensing and Compliance, Dafe Akpeneye, at the 25th Monthly Power Sector Meeting. According to Akpenaye, after reviewing the situation, the commission met with all the relevant stakeholders – consumers, DISCOs, financiers and others across the industry in order to chart the way forward.

    Akpenaye said: “We all arrived at the same answer that we have to do something different. We can no longer leave this very important obligation to the distribution companies alone; other players have to come into this space. So, we went about creating the NERC Meter Asset Provider (MAP) Regulation, 2018.” What does this seek to do differently? The MAPs are independent people that will be approved by NERC but contracted by the DISCOs to bridge the metering gap. In effect, there will be many options available to customers. According to Akpenaye: “Electricity consumers will now have the option of self-financing. Those who don’t want this will be able to obtain meters from MAPs and there will be a metering service charge spread over a period of 10 years.”

    Giving the place of accurate billing in the power mix, this decision could not have come at a better time. Apart from helping to ameliorate the problem of billing in the sector, it also has the potential of attracting about N200m investment in the industry in the next three years, as well as create jobs.

    That the government had to settle a meter contract problem that lasted for 14 years out of court before it could actualise the Meter Asset Provider Regulation, 2018 demonstrates its resolve to put behind it an age-long problem in the power sector. We urge all the stakeholders to cooperate to make the initiative work. On its part, the government should enlighten the citizens on this new choice and how to access it, including the terms of the deal.

    It is after solving the billing conundrum  that we can now begin discussions on appropriate tariff.

  • GUMCO, Genus Power seal meter manufacturing deal

    GLobal Utilities Management Company (GUMCO), a subsidiary of Vigeo Group, has signed a long-term agreement with Genus Power Infrastructure Limited for the manufacturing, assembling and development of power metering solutions for Nigeria and other West African countries.

    Vigeo Group Chairman Mr. Victor Osibodu signed the memorandum of understanding (MoU) for GUMCO, while the Executive Vice President of Genus Power Infrastructures, Mr. R. Viswanathan, signed for his company.

    Other senior executives of Vigeo and GUMCO present at the signing ceremony were Mr. Abu Ejoor, Director of Vigeo Power and Tosin Osibodu, Business Development Manager of GUMCO.

    The MoU signifies the intention to collaborate closely on developing viable solutions to meet Nigeria and West Africa’s power metering needs. It also provides a framework for joint research, setup and deployment to develop innovative features tailored to the challenges of the West African power market. The scope of the collaboration includes the pooling and exchange of ideas, expertise and resources, as well as the joint organisation and participation in the end-to-end process of bringing the products to market.

    Through this new partnership, Nigerian power distribution companies will have opportunity to service their customers with metering solutions suitable to the challenges of the market. This collaborative effort is expected to reap results that will enhance the Discos’ bottom-line and reputation with their customers.

    The Business Development Manager, GUMCO, Tosin Osibodu, said: “GUMCO is excited and honoured to be part of this unique partnership with Genus Power. This forward-looking initiative will be a key driver enabling greater performance and accountability within the power sector while creating local jobs through the lifecycle of meter manufacturing.”

    “Together with Genus Power, we can leverage each other’s expertise and collaborate to manufacture, assemble and provide high-quality metering solutions made in Nigeria to service Nigeria and moving forward to the West African market on country to country basis. We’re looking forward to a rewarding and mutually beneficial partnership. ”Viswanathan said: “As a leading meter manufacturer, with the largest installation base of meters in India, it is imperative that Genus shares its experience with its partner GUMCO to provide a range of highly innovative and sustainable metering products and solutions to mitigate the pain areas of Nigerian DisCos and customers.”

  • Kano DISCO refunds meter, transformer buyers

    The Chief Executive Officer (CEO) of Kano Distribution Company (KEDCO), Dr. Jamil Isyaku Gwamna has urged customers who replaced meters, transformers, poles and other electricity facilities to visit the company’s Kano headquarters for immediate refund.

    Gwamna who spoke during KEDCO’s parley with stakeholders and the House of Representatives Committee on Power, said KEDCO recently imported 70,000 transformers for free distribution.

    He said the idea behind the forum was to partner with the customers for improved service delivery, adding, “This is a special forum because it was convened at the instance of the House Committee on Power.”

    Speaking further, he said, “We have enough meters and transformers for distribution, there is no queue, and so, we appeal to customers to come forward for collection.”

    Gwamna who urged customers to desist from bribing KEDCO officials whenever they are performing their official duties, pointed out that the power outage was not deliberate.

    “In most cases,” he said, “power outage is beyond our control; it usually comes from TCN. They are not deliberate.”

    In his remarks, the chairman, House Committee on Power, Mr. Daniel Asuquo hailed KEDCO for putting in place one of the best facilities across the country, but observed that the company needed to expand to meet customers’ demand.

    “KEDCO is about the sixth distribution company that we have visited within this year. On our arrival, KEDCO management took us to some of their investments, which is to meet up their capital requirement they invested within the service year. We have seen most of their investments. We have seen the metering exercise they are doing; we have also seen the transformers; and we think that they have brought some innovations that are good for the people and the business.

    “We believe that if they expand on what they are doing, it will create better service for the people; and the issues we are already handling now is that of estimated billing and of course, exploitation of Nigerians would have been addressed once and for all,” he stated.

    He added that, “we are about 15 members of the House of Representatives that came for this assignment. We are here in Kano the headquarters of Kano Distribution Company (KEDCO), to carry out our oversight function in the power sector.

    “We are also here to arbitrate on the resolution of the House on the issues of metering gap, estimated billing, and infrastructural decay within the networks of DISCO companies that amounts to bad service and exploitation of Nigerians, which Nigerians are complaining about.”

  • Fashola directs DisCos to meter customers, MDAs

    Fashola directs DisCos to meter customers, MDAs

    The Minister of Power, Works and Housing, Mr. Babatunde Fashola, has directed the electricity distribution companies (DisCos) to give prepaid meters to their customers including government Ministries, Departments and Agencies (MDAs).

    He spoke at the 14th ministerial monthly meeting with operators of the power sector, held at the National Control Centre, Osogbo, Osun State. The minister emphasised that the purpose of the Nigerian Electricity Supply Industry (NESI) is to ensure that citizens can access power safely, reliably, and consistently and that it must remain committed to ensuring the achievement of those objectives.

    Fashola reiterated government’s commitment to its responsibilities in the power sector through policies such as the Power Sector Payment Assurance Guarantee to ensure liquidity stability in the sector so that generating companies are paid for their services. He also stated that all stakeholders remain committed to their various roles in supplying and distributing power to ensure that the power sector functions effectively.

    He urged electricity customers to play their role in the success of the industry, through the timely payment of bills, ending the vandalism of power assets, and the assault of electricity workers who seek to install or read meters. Federal Government had started by the payment of an initial tranche of N374,551,000 to Abuja Electricity Distribution Company (AEDC) for outstanding MDA debts at the Federal Secretariat, Abuja.

    According to a communiqué issued at the end of the meeting, discussions focused on identifying, and finding practical solutions to critical issues facing the Nigerian Electricity Supply Industry.

    The Managing Director, Transmission Company of Nigeria, it said, highlighted the issue of unutilised load (previously described as load rejection) currently causing high system frequency on the national grid, and encouraged the industry to take necessary steps to address the problem. TCN restated its commitment to expand transmission infrastructure and improve its operation and performance within the power sector value chain.

    The Nigerian Electricity Regulatory Commission (NERC) assured of Federal Government’s commitment to tariffs that ensure a self-sustaining power sector and to supporting NERC in applying sanctions where appropriate to ensure operators comply with the rules.

    NERC highlighted the recently reconstituted commission’s focus on fair but firm regulation in the following areas: enforcing DisCo metering commitments, prepaid meters for MDAs, centralised management of market revenues collected from all customers, appropriate capitalisation of DisCos, and prudent procurement. NERC was tasked with ensuring fair play for consumers and providers within the sector.

    Osun State Governor, Ogbeni Rauf Aregbesola, acknowledged the gradual improvement of electricity supply especially in the state which hosts the National Control Centre. He acknowledged the importance of the Power Sector Recovery Plan as critical to ensuring accountability for losses, improving customer service, customer accessibility, safety, and performance in the sector.