Global Upfront Newspapers
BusinessCoverLifeNews

For Second Time In 4 Months, DisCos Raise Meter Prices By 28.03%

Nigeria’s Electricity Distribution Companies (DisCos) have announced a rise in the price of various electricity meter models, making it the second price hike in four months.

According to the DisCos, the cost of a single-phase meter has risen from approximately N117,000 to as much as N149,800. This amount indicates an increase of 28.03 per cent or N32,800, depending on the distribution company and meter vendor.

The new prices posted on the official X handle of the Discos yesterday were scheduled to take effect on Tuesday, November 5, 2024. It also reflected the deregulation of meter asset providers as directed by the Nigerian Electricity Regulatory Commission, NERC.

It was learned that the upward revision followed an earlier increase in August 2024, further amplifying concerns among electricity consumers about affordability and accessibility.

An analysis of the documents revealed that meter prices vary across DisCos, influenced by vendors and meter models (single-phase and three-phase).

Eko DisCo pegged the price of its Single Phase Metre between N135,987.5 and N161,035, while a Three Phase Metre was pegged between N226,600 and N266,600.

Ibadan DisCo said customers will pay between a range of N130,998 and N142,548 for a single-phase meter and N226,556.25–NN232,008 for a three-phase meter.

Customers under Abuja DisCo will pay N123,130.53–NN147,812.5 for single-phase meters and N206,345.65–NN236,500 for three-phase meters.

Kano Electricity Distribution said its customers will pay N127,925–N129,999 for a single-phase metre and N223,793–NN235,425 for a three-phase meter.

Kaduna DisCo said N131,150—N142,548.94 would be paid for single-phase meters and N220,375—N232,008.04 three-phase meters.

In April, the Nigerian Electricity Regulatory Commission introduced a significant policy shift by announcing the deregulation of meter prices under the Metre Asset Provider, MAP, scheme for end-user customers.

The move was targeted at addressing lingering issues surrounding meter supply and pricing transparency within the electricity sector.

According to NERC’s latest order, meter prices under the MAP scheme will now be determined through competitive bidding, rather than being centralised.

This shift is expected to foster greater competition among meter providers, ultimately improving cost efficiency and service delivery for end users.

The deregulation removes earlier operational restrictions, allowing MAP permit holders to provide metering services across all electricity distribution companies in Nigeria.

However, MAPs must meet specific regulatory requirements to ensure compliance and maintain quality standards in service delivery.

Recall that NERC regulated meter prices, which were often subsidised across all DisCos to reduce costs for customers. While this model aimed to make metering affordable, it inadvertently stifled competition and limited transparency in the supply chain.

As a result, DisCos and customers were unable to negotiate or explore better deals from meter vendors, contributing to inefficiencies in the system.

With deregulation now in place, NERC anticipates a more dynamic metering ecosystem where customers and DisCos can benefit from competitive pricing, improved service quality, and greater accountability among meter providers.

@Vanguard

Advertize With Us

See Also

Buhari Rules Out State Police in Nigeria

Global Upfront

Full deregulation of oil and gas downstream sector kicks off, marketers now to source, fix petroleum products prices

Global Upfront

U.S.: Trump, 18 Co-defendants To Voluntarily Surrender In Georgia By August 25 Over 41 Racketeer Influenced and Corrupt Organizations (RICO) Charges

Global Upfront

CDS Mourns Admiral Ogohi, Says “He Was A Patriot To The End”

Global Upfront

Coronavirus: What’s happening around the world on Friday

Global Upfront

Coronavirus vaccine from Moderna (U.S.) shows early signs of viral immune response

Global Upfront

DSS: Planned EndBadGovernance Protests Aimed At “Regime Change” In Nigeria

Global Upfront

Turmoil In APGA As Supreme Court Sacks Victor Oye As National Chairman

Global Upfront

Low Quality: Downpour Washes Away Ochanja Market Road Onitsha Constructed By Governor Soludo, Barely One Week After

Global Upfront

Prof. Chinua Achebe International Airport Marks 2nd Anniversary, Set to Catalyse Economic Transformation

Global Upfront

This website uses Cookies to improve User experience. We assume this is OK...If not, please opt-out! Accept Read More