AMMON denies delaying World Bank metering programme, defends legal action
The Association of Meter Manufacturers of Nigeria (AMMON) has dismissed reports linking it to delays in the implementation of the World Bank-supported Distribution Sector Recovery Programme (DISREP), insisting that its legal action is aimed at ensuring due process and greater local participation rather than frustrating the deployment of smart meters.
Rather, the action seeks to align with President Bola Tinubu’s laudable policies, including the Nigeria First Policy, the Nigeria Industrialisation Policy and the Local Content Policy, so that backward integration can be achieved for the benefit of Nigeria’s industrialisation.
In a statement, the association said its court action is also intended to address procurement concerns and prevent a repeat of the shortcomings recorded under the first phase of the programme, known as International Competitive Bidding I (ICB I).
AMMON stressed that it remains fully committed to the objectives of DISREP, including accelerating electricity metering, improving the liquidity of electricity distribution companies (DisCos) and strengthening Nigeria’s power sector.
According to the association, the legal proceedings seek clarification on compliance with Nigerian laws, procurement guidelines and local content requirements.
“Our legal action is not intended to obstruct meter deployment or frustrate the procurement of 1.55 million smart meters under ICB II. It is, instead, a measured step to uphold due process, secure stakeholder engagement and prevent Nigeria from repeating the structural weaknesses of ICB I under the same procurement strategy,” the association said.
AMMON argued that the first phase of the programme marginalised more than 40 indigenous meter manufacturers, despite their substantial investments in manufacturing facilities, technology transfer and skilled manpower in line with the Federal Government’s local content policy.
The association also alleged that foreign suppliers engaged under ICB I delivered only about 600,000 meters against a contractual target of 1.2 million meters, two years after the contracts were awarded.
According to AMMON, the project has exceeded its 18-month implementation timeline under the World Bank framework, yet the contractors have faced no consequences for the delayed delivery.
It further expressed concern that the second phase of the international procurement process is proceeding under the same framework, while the National Competitive Bidding I (NCB I) process, designed for local manufacturers, has remained stalled for more than two years despite the emergence of preferred bidders.
The association disclosed that it has engaged key government institutions, including the Bureau of Public Enterprises (BPE), the Transmission Company of Nigeria (TCN), the Minister of Power and the Minister of Finance, on the need to increase local participation in the programme.
According to AMMON, the BPE and TCN have already convened stakeholder meetings to discuss structured participation by indigenous manufacturers.
The association maintained that Nigeria now has sufficient capacity to manufacture internationally certified, STS-compliant smart meters, and proposed milestone-based financing models that would reduce dependence on external borrowing for meter procurement.
It argued that increased patronage of local manufacturers would support the Federal Government’s Nigeria First Policy by creating jobs, promoting technology transfer and strengthening the country’s industrial base.
“Resorting to the courts to address legitimate concerns about strategy and due process should not be misconstrued as opposition to national development. The rule of law is a pillar of democratic governance,” the association stated.
AMMON reaffirmed its commitment to working with the Federal Government, the World Bank, the Nigerian Electricity Regulatory Commission (NERC), the Bureau of Public Enterprises (BPE), the Transmission Company of Nigeria (TCN) and electricity distribution companies to deliver a transparent, lawful and sustainable metering programme that accelerates meter deployment while maximising Nigerian participation.
