Nigeria’s protracted electricity metering crisis has entered another fraught phase, with the Federal Government and electricity distribution companies (DisCos) locked in a blame game that threatens to leave as many as 2.5 million prepaid meters idle in warehouses by the end of 2026.
At the heart of the standoff is the slow deployment of meters procured under the National Mass Metering Programme and the Presidential Power Initiative, initiatives backed by the World Bank and funded partly through the Federation Account. The schemes were designed to shrink Nigeria’s estimated seven-million metering gap and curb estimated billing, a practice that has long inflamed consumer resentment and eroded confidence in the power sector.
Yet, despite the availability of meters and fully paid installation contracts, progress has been sluggish. Only about 150,000 meters have been installed out of the initial one million procured under the Federal Government’s free metering scheme in the past eight months, according to the Minister of Power, Adebayo Adelabu.
The minister has warned that unless the pace improves sharply, the backlog of unused meters could swell to about 2.5 million as additional consignments arrive later in the year.
Government officials squarely blame the DisCos, in which the Federal Government retains about a 40 per cent stake, for frustrating deployment. Speaking through his Special Adviser on Media, Bolaji Tunji, Adelabu said the companies had failed to provide accurate customer data and adequate operational support to installers, leading to repeated delays.
He argued that the intervention became inevitable after years of underperformance by DisCos, which are legally responsible for metering their customers. Their inability to close the gap, he said, forced the government to step in through the World Bank–funded Distribution Sector Recovery Programme.
Under the arrangement, meters are procured directly for consumers, with installation costs embedded in the contracts to ensure households pay nothing. Each meter is configured specifically for the DisCo operating in the area, making cross-deployment impossible. Suppliers, the ministry insists, have already been fully paid for both supply and installation.
Despite these safeguards, meters are reportedly piling up in warehouses. The ministry cited poor enumeration and inaccurate customer information as major bottlenecks, noting that installers are often sent to wrong addresses or premises that are not technically ready. In some cases, only four out of every ten surveyed locations are viable for immediate installation.
Adelabu disclosed that another high-level meeting involving the World Bank, the Bureau of Public Enterprises and the DisCos is being planned to break the deadlock. He stressed that ending estimated billing is non-negotiable and said the government is prepared to intervene more forcefully, including assisting DisCos to clean up customer data if necessary.
DisCos push back
Distribution companies, however, reject accusations of sabotage. A senior official of a northern DisCo, speaking on condition of anonymity, blamed weak contractor capacity and logistics rather than deliberate obstruction.
According to the official, while 109,251 meters were contracted for the utility, fewer than half were delivered. Of the roughly 49,000 supplied, about 33,000 have been installed, leaving only 16,000 in storage. Installation, the source said, has recently improved to about 800 meters daily, but existing stock could be exhausted within a month without fresh deliveries.
The official dismissed claims that poor Know Your Customer (KYC) data was the main issue, blaming instead the decision to appoint a single installer to cover multiple states. Installers, he said, operate without vehicles, often moving on motorcycles and tricycles, while subcontractors are poorly paid, discouraging thorough surveys.
A southern DisCo also denied hoarding meters, insisting that the Distribution Sector Recovery Programme had not commenced in its franchise area and that it had not received a single meter under the scheme.
Meanwhile, a regulatory source said some DisCos have delayed installations under the Meter Acquisition Fund, preferring direct cash allocations to procure meters themselves, a model that has previously triggered legal disputes.
The Executive Secretary of the Association of Nigerian Electricity Distributors (ANED), Sunday Oduntan, maintained that DisCos have no incentive to block free meters. “We want consumers to be metered, and all the free meters the government has bought will be installed free,” he said, adding that the intervention is meant to support, not undermine, the companies.
Governance concerns deepen
Energy experts say the dispute exposes deeper structural weaknesses in Nigeria’s electricity market. Former President of the Nigerian Economic Society, Prof Adeola Adenikinju, said the problem lies more in enforcement than policy design, urging the government to apply sanctions where DisCos fail to meet obligations and to empower third parties to install meters if necessary.
Similarly, Prof Wunmi Iledare of the FUPRE Energy Business School described the situation as symptomatic of governance failures and weak regulation. He questioned why the Nigerian Electricity Regulatory Commission has been reluctant to impose penalties, warning that continued reliance on estimated billing is unfair to consumers and undermines confidence in the sector.
Civil society groups have also entered the fray. The Nigerian Human Rights Community, a coalition of over 130 organisations, backed Adelabu’s insistence on free installation, alleging that some DisCos still demand between N200,000 and N350,000 from consumers. The group warned of mass action if such practices persist.
Former President of the Chartered Institute of Bankers of Nigeria, Prof Segun Ajibola, argued that resistance to prepaid metering reflects DisCos’ fear of losing what he termed “undeserved revenue” from arbitrary billing. He urged the government to assert regulatory authority and “wield the big stick” to protect consumers.
