The Federal Government plans to deploy seven million smart meters across Nigeria. This is part of the Presidential Metering Initiative, designed to stop estimated billing and reduce revenue losses in the power sector.
Olu Verheijen, Special Adviser to President Bola Tinubu on Energy, revealed this during an interview with the News Agency of Nigeria (NAN) in Abuja. She spoke on Sunday while reflecting on Tinubu’s two years in office.
Verheijen said smart metering plays a key role in Tinubu’s plan to improve power supply. It focuses on strengthening the electricity value chain, especially the gas-to-power segment.
“We’re working on several actions to improve the commercial viability of the gas-to-power chain,” she said.
She added that the government is creating new policies to support cost-reflective electricity pricing and operational efficiency.
The government also aims to resolve legacy debts owed to power generation companies and gas suppliers. Verheijen noted that this will involve a mix of cash and promissory notes.
“We want to make sure these companies get paid, so they can continue delivering electricity,” she stated.
She explained that past failures in subsidy funding and poor Disco revenue collection created these debts.
To improve revenue, the government is prioritizing metering. Verheijen emphasized that most grid-connected customers will receive smart meters.
“This will help eliminate estimated billing and reduce revenue losses,” she said.
With more accurate billing, electricity users will only pay for what they consume.
The government plans to hold all power sector players accountable. It will tie reforms to performance targets.
Verheijen also highlighted the need for better governance in the Discos. She stressed their role in collecting revenue and delivering reliable service.
“Regulations will ensure Discos have both the skills and funding to serve customers well,” she said.
NERC Takes Action Against Estimated Billing
Earlier this year, the Nigerian Electricity Regulatory Commission (NERC) fined eight Discos ₦628 million for overbilling. This includes Abuja Electricity Distribution Company (AEDC) and Ikeja Electric (IKEDC).
The fines were based on the amount of excessive billing and how long the violations lasted. According to NERC, the enforcement supports broader efforts to phase out estimated billing through prepaid meters under the National Mass Metering Programme (NMMP).
