By Eyo Nsima
The Nigerian Electricity Regulatory Commission, NERC has tasked the Electricity Distribution Companies, DisCos on metering as consumers bombard it with massive complaints from all parts of Nigeria.
In its latest, ‘ORDER ON REPLACEMENT OF FAULTY AND OBSOLETE END-USE CUSTOMER METERS IN THE NIGERIAN ELECTRICITY SUPPLY INDUSTRY, obtained by The Daily, www.thedaily-ng.com, NERC, stated: “The Commission notes that over seven million customers are currently unmetered as indicated by customer enumeration data. It is also estimated that an additional three million meters are currently obsolete and due for replacement.”
It stated: “The existence of a large population of unmetered customers contributed to threats affecting the financial viability of NESI as unmetered end-use customers expressed deep dissatisfaction with the estimated billing methodology. The revenue assurance objectives of DisCos have also been challenged by being unable to properly account for the utilization of electriCity by end-use customers.”
According to NERC, “the Meter Asset Provider (MApl) Regulations, which came into force on 3 April 2018 aims at encouraging the development of independent and competitive meter services in NESI, eliminating estimated billing practices in NESI, attracting private investment to the provision of metering services in NESI, closing the metering gap through accelerated meter rollout in NESI, and enhancing revenue assurance in NESI.”
Complaint
It stated: “The Commission started receiving complaints from metered end-use customers in the fourth quarter of 2020 when all stakeholders were preparing for the implementation of NMMP, that they had been served meter replacement notices by DisCos.
“These customers also complained about the following – Meters were not inspected by the DisCos prior to the issuance of the meter replacement notices. The meter replacement notices did not specify the fault which required the meter to be replaced. Removal of meters and being placed on estimated billing as new meters were not installed on their premises. Not being able to vend on the new meters as activation tokens were not issued. Failure or refusal to transfer units from the old meter to the new meter. Being billed for loss of revenue that is transferred to the new meter as an outstanding debt without establishing meter tampering or unauthorized access.”
Responsibility
The Commission stated: “DisCos are responsible for the installation and replacement of meters for end-use customers but such replacements must be done in compliance with MC and the protection of the rights of customers. DisCos have revenue assurance obligations as going concerns and financial obligations to the NESI value chain which have become more critical under the framework of service-based tariffs. DisCos have the right to replace faulty meters but this must be done in strict compliance with MC and other regulatory instruments issued by the Commission.”
Orders
However, NERC has ordered that, “DisCos shall grant priority to the metering of unmetered customers under the National Mass Metering Program.
“DisCos may replace faulty/obsolete meters under the National Mass Metering Program but these replacements must be done in strict compliance with the Metering Code and other regulatory instruments of the Commission.
“DisCos shall inspect meters of metered end-use customers and the replacement notice shall contain the following – the date of inspection. Name, designation, and signature of the officer that inspected the meter. The fault identified in the meter. The date for the installation of the replacement meter. The Commission shall be copied on all replacement notices issued to end-use. customers for the purpose of conducting random reviews of the replacement exercise.
“New meters must be installed upon the removal of the faulty/obsolete meter and under no circumstances shall the customer be placed on estimated billing on account of the DisCo’s failure to install a replacement meter after the removal of the faulty/obsolete meter.
“The customer and DisCo representative shall jointly note the units on the meter being replaced and the customer must be credited with these units within 48 hours after the installation of the meter. Customers shall only be billed for loss of revenue where the DisCo establishes meter tampering, by-pass, or unauthorized access as contained in NERC Order/REG/ 41/2017 on Unauthorised Access, Meter Tampering, and Bypass. “
It added: “Activation tokens shall be issued to customers immediately after replacement of the faulty/obsolete meter. DisCos shall file monthly returns with the Commission on the replacement of faulty/obsolete meters along with their proposal for the decommissioned meters. This Order may be cited as the Order on the Structured Replacement of Faulty/Obsolete Meters.”