Electricity Featured Finance

CBN releases framework for financing of mass metering

Central Bank of Nigeria (CBN) has released its framework for National Mass Metering Programme (NMMP).

The framework was released by the Development Financing department of the apex bank through its official website on Monday.

It stated that introduction of the Service-Based Tariff (SBT) in the Nigeria Electricity Supply Industry (NESI) effective Sept. 1, had put increased emphasis on the need to close the metering gap in the NESI.

“Closing this gap will enhance efficiency of revenue collection by Distribution Companies (DisCos) and thereby facilitate meeting their obligations to other upstream market participants.

“According to analysis provided by Nigeria Electricity Regulatory Commission, the current metering gap in the NESI – based on recent customer enumeration data – is over 10 million.

“This comprises of unmetered customers as well as customers with obsolete meters that need to be replaced,’’ it stated.

CBN stated that the framework outlines the operational modalities of the CBN financing support to the DisCos (Downstream), and Local Meter Manufacturers (Upstream).

It added that key objectives of the NMMP included increasing Nigeria’s metering rate, elimination of arbitrary estimated billing, strengthening the local meter value chain by increasing local meter manufacturing, assembly and deployment capacity.

“It will support Nigeria’s economic recovery by creating jobs in the local meter value chain and reducing collection losses and increasing financial flows to achieve 100 per cent market remittance obligations of the DisCos.

“ It will also improve network monitoring capability and availability of data for market administration and investment decision making,’’ it stated.

Related posts

Refrain from goodwill messages, Kyari urges stakeholders,  Nigerians  

Editor

South West businesses, ivory towers sink under endemic power failure

Our Reporter

Naira sells at N363 to dollar at parallel market

Editor

Crypto firms practise high-level illegality, alleges Emefiele

Our Reporter

IOCs treating our people like animals, allege Ijaw youths

Our Reporter

BBNaija (S4) housemates stage epic fashion show

By Shile GIWA