Photo caption: Electricity meters
By Emeka Ugwuanyi
The Association of Meter Manufacturers of Nigeria (AMMON), a coalition of industry leaders committed to advancing local meter manufacturing, ensuring quality standards, and supporting Nigeria’s energy sector growth, has expressed enthusiasm for President Bola Tinubu’s “Nigeria First Policy”.
In a statement by the President of AMMON, Engr. Durosola Omogbenigun, on behalf of the Executive Committee, AMMON, which represents 40 certified Local Meter Manufacturers and Assemblers (LMMAs), the policy will unlock the full potential of Nigerian industries.
In his message to President Bola Ahmed Tinubu at the weekend, the President of AMMON, Engr. Durosola Omogbengun, appreciated him for the policy, which prioritizes locally manufactured goods in public procurement and mandates technology transfer and capacity-building when foreign options are pursued.
He also commended the Special Adviser to the President on Energy, Mrs. Olu Verheijen, and the Minister of State for Industry, Senator Owan Enoh, for their support.
Capacity to provide, install meters
AMMON pledged to support the government’s efforts, stressing that its members have the capacity to provide and install adequate meters for all consumers.
It stated: “With the enactment of the “Nigeria First Policy” AMMON remains ready and equipped to showcase its ability to provide meter for the country with our members currently boasting a combined installed capacity of six million meters annually and holding over 250,000 compliant meters in country, ready-for immediate deployment while continuing production to meet future demand.
“Our records show that AMMON/MAP have delivered quicker and in multiples of any foreign procurement project undertaken. World Bank project delivered 75,000 meters out of 1.25million meters in 20 months while AMMON delivered 1.7million meters in 12 months of 2021. We are still able to do that if similar funded procurement is provided to AMMON.”
Recommendations
AMMON urged the government to fully operationalize the “Nigeria First Policy” in the structuring Nigeria Distribution Sector Recovery Program, DISREP II and Presidential Metering Initiative, PMI, adopting National Competitive Bidding (NCB) as the default mechanism to ensure local content inclusion. This, the association argued, will prevent capital flight, stimulate job creation, and accelerate backward integration.
According to AMMON, “Nigeria’s metering industry is a cornerstone of national development, and with the right policy support, it can graduate from early-stage manufacturing to full manufacturing, thereby positioning Nigeria as a regional export hub under AfCFTA.
“Mr. President, your leadership inspires confidence and renews hope in Nigeria’s industrial future. We pledge our full cooperation and continued dedication to the success of your administration’s Renewed Hope Agenda.”
Industry statistics
The association highlighted that there are 42 Local Meter Manufacturers in Nigeria, with a combined installed capacity of 6 million meters per annum, employing 10,000 workers directly and 30,000 indirectly.
AMMON also noted that local meter manufacturers have installed 2.6 million meters and 850,000 National Mass Metering Programme (NMMP) meters between 2020 and 2024.
It stated: “The contribution made by local meter manufacturers, especially from 2021 to 2024 was achieved at the cost of N353.7 billion (at today’s price for single & three phase meters and excluding CBN funded NMMP Project of 850,000 meters). This amount was financed by LMMA/MAPs locally.”
Concerns about foreign contracts
AMMON expressed concerns about contracts with Chinese firms, citing slow delivery and high costs. They urged the government to prioritize local manufacturing to stimulate industrial growth and job creation.
It stated: “Recently TCN/ PMU the department in the Transmission Company of Nigeria signed contract with two Chinese companies to supply 1.25 million meters at the whooping cost of over 100 million USD using Loans from the World Bank.
“Before the execution of this procurement process, we advised the FGN then in the last administration to allow local meter manufacturers to participate in this transaction and we had cogent reasons but we’re denied the opportunity.
“Since commencement of this transaction only 75,000 meters out of 1.25 million meters have been delivered by these Chinese companies. Those meters are still uninstalled defeating the aim of resolving the liquidity crisis which we, AMMON, are doing daily with no incentive or assistance from any quarters apart from our belief in our nation.”
It added: “Despite the dismal failure of the first foreign procurement, TCN is going ahead with another World Bank procurement of 1.55 million meters which will contribute in no small measure in killing local manufacturing.”
