By: Ecofin agency

Nigerian electricity distribution companies have 12 months from March 1, 2026, to refund customers who paid for their own electricity meters under the Meter Asset Provider (MAP) programme. The directive was issued by the Nigerian Electricity Regulatory Commission (NERC), the body responsible for regulating the country’s power sector.

Local media reported on Wednesday, March 4, that the measure concerns consumers who purchased meters through the MAP scheme. Introduced in 2018, the programme allows customers to buy a meter from licensed providers when their distribution company cannot install one immediately.

Under the regulations, distributors must gradually reimburse the cost of the meter through credits applied to customers’ electricity bills. NERC has now ordered companies to accelerate these refunds. According to the regulator, distributors must apply credits directly to affected customer accounts and submit regular reports on repayment progress.

The directive follows the accumulation of significant arrears under the programme. As of December 31, 2025, 20.33 billion naira (about $13 million) remained to be refunded, according to NERC. The regulator says the new deadline is intended to clear these outstanding amounts and ensure compliance with programme rules.

For NERC, the effective functioning of this mechanism is key to Nigeria’s electricity meter rollout policy. The MAP programme was introduced to speed up meter installations and reduce estimated billing, which remains widespread in the country.

The meter issue forms part of broader reforms aimed at improving billing and revenue collection in Nigeria’s power sector. The government plans to install around 7 million smart meters to strengthen bill collection.

Despite these reforms, the sector continues to face major financial imbalances. Official data show that in the first quarter of 2025 the Nigerian government spent 536.4 billion naira (around $350 million) on electricity subsidies to cover the gap between consumer tariffs and the actual cost of power.

As Ecofin Agency reported in July 2025, these subsidies covered about 59% of the cost of electricity billed to distributors, according to NERC and federal authorities.