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FG approves N21bn for provision of free meters
By Kayode Sanni-Arewa
Federal Government has approved N21bn under the Presidential Metering Initiative to close the country’s metering gap by providing meters to unmetered power users at no cost.
That was announced in an order by the Nigerian Electricity Regulatory Commission on Friday with the number – NERC/2024/072, titled “Order on the Operationalisation of ‘Tranche A’ of the Meter Acquisition Fund”.
The commission stated that the deployment of funds under the Meter Acquisition Fund scheme would accelerate the deployment of meters and close the current metering gap.
It added that this would help in reducing commercial and collection losses to power distribution companies, enhancing the quality of service, and improving customer satisfaction.
“The funds accrued as of the April 2024 market settlement cycle and available for procurement of meters under the first tranche of the MAF scheme is in the sum of NGN21,864,851,725. The commission hereby approves the use of a sum of NGN21,000,000,000 apportioned pro rata to contribution by the Discos as Tranche A of the MAF scheme,” NERC stated in the new order.
It said the fund was broken down and allocated to each Disco for the purchase of end-use customer meters.
“All the meters to be procured and installed under the MAF framework shall be at no cost to the customers of the Discos,” the power sector regulator noted.
The commission further said, “This order shall become effective on June 13, 2024, and may be amended or revoked by subsequent orders issued by the Nigerian Electricity Regulatory Commission.”
In ia bid to ensure the metering of power consumers, NERC introduced the Meter Asset Provider Regulations 2018 and subsequently, the Meter Asset Provider and National Mass Metering Regulations in 2021.
The regulations provided several options for metering customers but the interventions, though significant, have not resulted in the closure of the national metering gap, which currently stands over seven million customers.
The inability of distribution companies to raise financing in the form of debt or additional equity has been identified as the major constraint in the acquisition and deployment of end-use meters and other capital investments.
The Meter Acquisition Fund scheme was, therefore, developed and approved by the commission, primarily to address the challenge of Disco credit worthiness inhibiting the deployment of end-use meters in NESI by creating a credible revenue stream from the market funds on the back of which long term financing may be secured by the utilities.
The funds, according to NERC, shall be under the management of the fund manager based on terms and conditions negotiated by the Discos and approved by the commission.
The Federal Government approved the Presidential Metering Initiative to close the metering gap in the NESI within three years, leveraging smart metering technologies for data analytics.
The commission also approved the deregulation of meter prices under the MAP scheme vide order NERC/2024/040 to ensure on efficient pricing of meters while responding more quickly to changes in macroeconomic parameters.
The order provided that all prices of meters under the MAP scheme should be determined through a transparent and competitive bidding process by eligible MAPs.
“A competitive bidding process was held on May 21, 2024, based on the provisions of Order NERC/2024/040, where a total of 24 MAPs participated across the 12 Discos. A total of 44 bids were submitted for 10-meter specifications.
“While the NESI is expected to leverage on the revenue stream under the MAF framework to raise substantial capital funding for metering, there is an imperative to accelerate a closure of the metering gap for all customers currently classified under tariff Band A for revenue protection and facilitating demand side management for the affected customers,” NERC stated.
News
Obasanjo narrates how he escaped becoming drug addict
Former President Olusegun Obasanjo has revealed how he almost became a drug addict.
He spoke in Abeokuta over the weekend at the second edition of ‘Fly Above The High’ anti-drug campaign conference organised by the Recovery Advocacy Network.
Obasanjo stated that smoking during his youthful age led to chronic coughing and almost became an addiction.
The former President, while lamenting the increase in drug abuse among Nigerians and other West Africans, urged Nigerian students and young people to refrain from abusing psychoactive drugs, saying that they ruin life rather than enhance it.
“If I had persisted, I could have become addicted. Once you get involved, it is difficult to get out.
“There’s nothing drug can do for you except destruction.
“We found out that West Africa has equally been a centre for drug consumption in a very bad way. That was more than 10 years ago, so the situation has since gone worse. And whatever applies to West Africa applies to all other parts of Africa,” Obasanjo said.
He cautioned against stigmatization and urged individuals who are already addicted to psychoactive drugs to get help.
News
We saved $20bn after Petrol Subsidy Removal and FX Rate Reforms, Says Finance Minister
Wale Edun, minister of finance and coordinating minister of the economy, says Nigeria has saved $20 billion from petrol subsidy removal and market-based pricing of the foreign exchange rate.
Edun spoke at a ceremony recently held to mark the first 100 days in office of Esther Walso-Jack, head of civil service of the federation, in Abuja.
“An amount of five per cent of GDP is what those two subsidies were costing when there was a subsidy on PMS; when there was petroleum product generally for a long time and when there was a subsidy of foreign exchange. Between them, they were costing five percent of GDP,” he said.
“If you say GDP was on average, let’s say $400 billion. We all know what five percent of that is – $20 billion of funds that could be going into infrastructure, health, social services, education.”
News
Okpebholo restores statutory rights to Oba of Benin, abolish traditional councils created by predecessor
The Edo State Governor, Senator Monday Okpebholo, has restored the statutory rights of the Benin Monarch, Oba Ewuare II, abolishing the new traditional councils in Edo South created by the last administration.
He also backed the Federal Government’s Gazette, which gave the ownership of the returned artefact to the Oba’s palace, which was looted during the 1897 Benin massacre by the British colonial forces.
Also, the state government is withdrawing the letter revoking the concession of the Oba Akenzua II Cultural Centre issued by the last administration to be used as a motor park.
These were contained in a statement released by the governor’s Chief Press Secretary, Fred Itua, on Sunday.
The statement further read, “This administration is restoring the Oba Akenzua centre to a suitable condition for its original purpose.
“This administration also hereby abolishes the new traditional councils in Edo South, created by the last administration.
“Accordingly, Okpebholo has restored the statutory financial entitlements of the Benin Traditional Council and has ordered that the status quo before the creation of the now abolished councils be maintained.
“The Okpebholo administration is backing the initial plan of the state Government to build the Benin Royal Museum that will house the returned artefacts and is distancing itself from the Museum of West Africa Art (MOWA) which the previous administration fronted as the museum to hold the returned Benin artefacts before the federal government intervention on the matter.
“The Federal Government has also issued a Gazette for the recognition of ownership and custody of the repatriated Benin artefacts to Oba of Benin, Oba Ewuare II. This was done through a Government Notice No.25 in the Federal Republic of Nigeria Official Gazette No.57, Volume 110.”
The statement added that Okpebholo respects the rights and privileges of the traditional ruler of the Benin Kingdom, Omo N’Oba N’Edo Uku Akpolokpolo Oba Ewuare ll, and pledges the support of his administration to ensure the Monarch plays his role as the custodian of the rich cultural heritage of the Benin people.
“It is in recognition of this that the administration of Governor Okpebholo shall support the decision of the Federal Government to uphold the Oba of Benin as the exclusive owner of the returned Benin artifacts that were looted by the British Colonial forces during the Benin massacre of 1897.
“The Oba of Benin, as the father of all Benin people, is the sole custodian of the customs and traditions of the Benin people and my administration respects customs and traditions in the land and hereby restores the statutory rights of the Oba of Benin as the true custodian of the returned Benin artefacts.
“Okpebholo said his administration is committed and will refrain from interfering in the internal affairs of the Benin Traditional Council.
“The governor is using his constitutional powers and the respect for traditional institutions and the revered Oba of Benin to restore all other Statutory Rights of the Monarch not mentioned hereof, ” the statement read.
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