FG Bans Payment for Smart Meters, Warns DisCo Officials Against Extortion

The Federal Government has directed electricity distribution companies (DisCos) and installers to provide smart meters to consumers free of charge, warning that any official or installer found soliciting payment will face prosecution.

The directive was issued on Thursday by the Minister of Power, Adebayo Adelabu, during an on-site inspection of newly imported smart meters at APM Terminals, Apapa, Lagos. The meters were procured under the World Bank–funded Distribution Sector Recovery Programme (DISREP).

Adelabu emphasised that the meters must be installed for all electricity customers, regardless of their consumption band, and described any demand for payment as illegal.

“I want to mention that it is unprecedented that these meters are to be installed and distributed free of charge—free of charge! It is an offence for any DisCo official or installer to request money from consumers,” he said.

The minister noted that the Federal Government plans to import a total of 3.4 million smart meters in two batches. The first batch of 1.43 million meters has largely been received, with almost 150,000 meters already installed nationwide. Thursday’s delivery included nearly 500,000 additional meters.

Adelabu expressed optimism that within a few years, every household, business, and institution in Nigeria would be fully metered, improving billing transparency, collection efficiency, and overall sector liquidity.

He also highlighted measures to ensure compliance, including the creation of a customer complaint desk for reporting illegal demands and coordination with the Nigerian Electricity Regulatory Commission (NERC) and state regulatory authorities.

“Extortion is not allowed. Confirmed cases of such illegal acts will lead to prosecution, and the outcome will be publicised to serve as a deterrent,” Adelabu warned.

The minister described the ongoing metering initiative as unprecedented, marking a significant step in transforming Nigeria’s power sector, ensuring reliable electricity, and making life easier for consumers.