"You Will Not Feel it at All": FG Introduces 10-year Repayment Plan for Prepaid Meters
- Electricity customers in Nigeria now have a grace period of up to ten years to finish the repayment for prepaid meters
- This is part of the federal government's plan to make electricity meters affordable and available to all Nigerians
- The power minister said the goal is to procure and install at least 2 million meters annually over the next five years
Don't miss out! Join Legit.ng's Sports News channel on WhatsApp now!
Legit.ng journalist Victor Enengedi has over a decade's experience covering Energy, MSMEs, Technology and the Stock Market.
The Minister of Power, Adebayo Adelabu, has explained that electricity consumers who receive free prepaid meters will have a repayment period of up to 10 years.
This clarification contrasts with earlier claims suggesting that customers who purchase meters would be reimbursed through energy credits.
Source: UGC
Meter costs to be spread over a decade
During a recent address in Ibadan, the minister acknowledged that the rising cost of meters has posed a significant challenge.
Adelabu mentioned that the federal government plans to finance meter procurement through various initiatives, allowing customers to gradually repay the cost over time.
He said:
“We can get funding for this meter and allow the customers to pay over time.
“When the government starts procuring meters, we’ll give it to the customers, and we’ll deduct the money over 10 years. In which case, you will not even feel it at all.”
It would be recalled that that the Nigerian Electricity Regulatory Commission (NERC) recently approved the upward review of the prices of pre-paid power meters in the country.
According to Punch, Adelabu further explained that a customer purchasing an energy credit of N5,000 might see a deduction of N100 as a repayment for the 'free' meter provided by the government.
Procurement of 2 million meters annually
Adelabu stated that the federal government, in collaboration with the states, has secured N100 billion for the acquisition of prepaid electricity meters.
He noted that President Bola Tinubu established the Presidential Meter Initiative and a Presidential Meeting Council to tackle meter-related challenges.
According to him, the goal is to procure and install at least 2 million meters annually over the next five years.
He mentioned that the World Bank has committed to assisting Nigeria in acquiring nearly two million meters over the next two years as part of the distribution sector recovery program.
He revealed that $200 million of the $500 million DISREP fund would be allocated for meter procurement, noting that the process is already at an advanced stage.
FG launches new metre factory in Nigeria
In related news, Legit.ng reported that the federal government had launched an electric energy metre factory to produce 1.4 million meters yearly.
Vice President Kashim Shettima commissioned the manufacturing factory in Oraifite, Ekwusigo Local Government Area of Anambra State.
Shettima said that the development would help close the metre shortage gap in the country and drive growth in the energy sector.
PAY ATTENTION: Stay Informed and follow us on Google News!
Source: Legit.ng
