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Reading: FG Cracks Down on Meter Racketeering, Rolls Out 3.2 Million Free Smart Meters to End Estimated Billing
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Times Reporters > Business > FG Cracks Down on Meter Racketeering, Rolls Out 3.2 Million Free Smart Meters to End Estimated Billing
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FG Cracks Down on Meter Racketeering, Rolls Out 3.2 Million Free Smart Meters to End Estimated Billing

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By Publisher Published February 5, 2026
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By Chidi Ugwu

The Federal Government has moved to protect electricity consumers from exploitation by declaring that all meters being distributed under its power sector reform programme are strictly free, warning that any official or agent demanding payment is acting illegally and should be reported.

At a joint briefing in Abuja with the heads of the country’s 11 electricity distribution companies, the Bureau of Public Enterprises (BPE) said the nationwide meter deployment is designed not only to close Nigeria’s long-standing metering gap but also to stamp out the culture of arbitrary billing and extortion that has frustrated millions of households and businesses.

Ayodeji Ariyo Gbeleyi, Director General of BPE, stressed that customers must not pay a kobo for meter supply or installation under the Distribution Sector Recovery Programme (DISREP), a $500 million World Bank-backed intervention aimed at overhauling the distribution segment of the electricity value chain.

According to him, the funding arrangement — secured at single-digit interest rates — offers a cheaper and more sustainable alternative to commercial loans, allowing the government to finance critical infrastructure without pushing additional costs onto consumers.

Under the initiative, 3.2 million smart meters will be procured and installed across the country within four years through competitive bidding. Nearly 700,000 units have already been delivered, while about 200,000 have been fixed in homes and businesses served by various distribution companies.

Gbeleyi said the programme forms part of a broader effort to build a financially stable and service-driven electricity market capable of delivering reliable supply and fair billing. He noted that contractors handling the project have already been paid by the government, eliminating any justification for customers being charged.

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Distribution companies echoed the warning. The Managing Director of Abuja Electricity Distribution Company, Chijioke Okwuokenye, urged customers to reject any payment requests and report offenders immediately.

His counterpart at Eko Disco, Wola Joseph-Condotti, said internal measures were underway to identify and remove staff or agents extorting consumers.

Beyond eliminating upfront meter costs, the smart meters are expected to introduce more accurate billing, reduce disputes, and improve transparency. Authorities say the devices will also help utilities cut technical and commercial losses, strengthen revenue collection, and attract long-term investment into the network.

Of the total funding, $250 million has been earmarked specifically for meter procurement, data management systems, and operational upgrades for distribution companies.

With about 5.66 million customers still unmetered nationwide, officials described the rollout as one of the most ambitious metering drives in the sector’s history.

While priority will go to unmetered households, up to 20 per cent of the new units may replace faulty or outdated meters.

For many consumers long burdened by estimated bills, the government says the message is simple: the meters are paid for — and they are free.

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TAGGED: Electricity, free metering, Meter, Nigeria

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Publisher February 5, 2026
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