THE federal government has approved an upward review in the prices of pre-paid electricity meters in the country.
The approval takes effect from 6 September, the Nigerian Electricity Regulatory Commission (NERC) said Tuesday in a circular jointly signed by the commission’s Chairman, Sanusi Garba, and its Commissioner, Legal, Licencing and Compliance, Dafe Akpeneye.
According to the circular, the price of the single-phase meter (4G, smart) will increase to N81,975.16 from N58,661.6, while the price of a Three-phase meter (4G, smart) was raised from N109,684.36 to N143,836.10.
The commission noted that significant changes in macroeconomic indicators, such as inflation and changes in the foreign exchange rates, have necessitated a review of the regulated rates for Meter Asset Provider (MAP).
The Commission said it also considered relevant data on the significant changes in macroeconomic indicators from the Central Bank of Nigeria (“CBN”) and the National Bureau of Statistics (NBS) as benchmarks for the meter price review.
It added that the approval seeks to ensure the fair and reasonable pricing of meters to both MAPs and end-user customers.
It also seems to “ensure MAP’s ability to recover reasonable costs associated with meter procurement and maintenance while ensuring that their pricing structure allows for a viable return on investment” and “evaluate the affordability of meter services for consumers, aiming to prevent excessive pricing that could burden end-users. Ensure that MAPs are able to provide meters to end-use customers in the prevailing economic realities,” it said.
According to the commission, the approval meter prices are exclusive of Value Added Tax (VAT).
It said the approved meter prices also include the revised Nigerian Electricity Management Services Agency (NEMSA) sealing cost.
“Single-phase meter NGN 842.80 per unit and Three-phase meter NGN 1,100.80 per unit,” it said.
The commission said all MAPs should adjust their prices to reflect the approval rates.
“All MAPs shall supply meters previously paid for by end-use customers prior to the commencement of this order at the prevailing rate when payment was made by the customers without additional increase in cost.
“All DisCos and MAPs are to develop/implement customer enlightenment campaigns on the price review along with a schedule on the implementation of their meter rollout plans.
“All MAPs shall continue to file monthly sales and meter installation returns with the commission,” it said.
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