energy sector in nigerian

MAPCo a Nigerian company to raise $1.2billion(N480 billion) to subsidize the energy sector.

energy sector in nigerian

A company in Nigeria known as Meter Assets Finance and management Company (MAPCo), are making a move to provide meters for electricity in order to subsidize the electricity distribution companies (DISCOs) with a speculated amount of N480 billion ($1.2 billion) for a period of three years.

This will also bring alive the government idea on the consumption of electricity which they proposed it should be metered for proper energy consumption analysis .

In line with a report from PricewaterhouseCoopers, lower than one-tenth of Nigeria’s 41 million households have their electrical energy consumption metered, and half of these are defective. Consequently, distribution corporations now have to estimate payments, leading to constant conflict with the consumers that delay their payments.

The Chief Executive Officer of New Hampshire Capital, Onion Omonforma, said the Meter Assets Finance and Management Co. that funds are being raised to provide meters in order to discourage the estimated billing on energy consumption.

Omonformaa said, “The electricity distribution firms will then have the money to go back and buy more meters and the cycle continues, paving the way to close the metering gap. MAPCo will collect the cost of the meters from consumers at a premium over the next 10 years. The meters will be handed over to the power-distribution companies once paid off.’’

credit_’nairametrics’

It may be recalled that other than repealing the estimated billing methodology in figuring out tariffs for electrical energy consumers; the Federal Government had insisted that each one consumers have to be metered, as a part of the situation for an increment in tariff.

Additionally, as a part of the agreement reached with the organized labor in respect of the tariff improve; the Federal Authorities disclosed that the Nationwide Mass Metering scheme shall be accelerated, with the distribution of 6 million meters to Nigerians totally free.

 

 

 

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