The Federal Government has announced plans to deploy seven million smart meters under its Presidential Metering Initiative to eliminate estimated billing and revenue leakages in the power sector.
Special Adviser to President Bola Tinubu on Energy, Mrs Olu Verheijen, disclosed this in Abuja during an event marking the second anniversary of the Tinubu administration.
Verheijen stated that the mass deployment of smart meters would help end collection losses from unmetered on-grid electricity consumers, while improving the commercial viability of the gas-to-power value chain.
She noted that, “We are developing policies and frameworks that will help transition to a cost-reflective electricity pricing system and drive greater efficiency in how those costs are determined.”
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The presidential aide also revealed that government is working to settle legacy debts arising from electricity subsidies and the underperformance of Distribution Companies (Discos) in revenue collection.
“We intend to clear these debts through a combination of cash and promissory notes to ensure that generation companies and gas suppliers are paid,” she said.
She added that metering more customers is a key part of the plan to improve revenue assurance, reduce estimated billing, and ensure that paying customers correspond with electricity supply.
In return for the debt resolution, Verheijen said government would demand better performance from all operators across the power value chain and increased investment in grid expansion.
She also emphasised ongoing efforts to improve the governance of Discos, which she described as the cash engine of the electricity system.
“With the right regulatory frameworks, we will strengthen the financial and technical capacity of Discos to provide more reliable electricity to homes and businesses,” she added.
