March 12, (THEWILL) — Nigeria’s electricity distribution companies are under renewed financial pressure after the Nigerian Electricity Regulatory Commission (NERC) directed them to refund ₦20.33 billion to customers who paid for prepaid meters under the Meter Asset Provider (MAP) scheme.
The order followed a regulatory review which found that many customers who financed the purchase of meters had not been reimbursed as required.
The MAP scheme was introduced to reduce Nigeria’s metering gap by allowing consumers to pay upfront for meters, with distribution companies expected to gradually repay the cost through energy credits.
However, the regulator discovered that several refunds had not been implemented, creating a backlog that had grown to more than ₦20 billion by the end of 2025.
To address the issue, NERC has directed all electricity distribution companies to clear the outstanding reimbursements within 12 months starting from March 2026.
Under the directive, refunds will be issued as electricity credits.
Prepaid customers will receive additional tokens when purchasing power, while postpaid users will see the credits reflected in their monthly bills.
Although the move is aimed at protecting consumers and improving transparency in the power sector, industry observers warn it could worsen liquidity challenges already facing many distribution companies.
Ogochukwu Onwaeze is a writer specializing in business and economic journalism. At THEWILL News Media, she translates market trends, financial developments, and policy shifts into clear and engaging stories.
