Billions spent, millions of Nigerians still stuck on estimated billing
More than five million Nigerians still lack prepaid meters despite years of power sector reforms.
For many Nigerians, electricity bills still arrive with the same frustrating question: where exactly did this number come from?
Years after repeated promises to end estimated billing, millions of homes and businesses across the country are still paying for electricity they cannot properly track or measure themselves. New industry data now shows that most electricity distribution companies are still falling short of metering targets despite billions of naira spent on intervention programmes and funding schemes aimed at fixing the problem.
According to new figures released by the Nigerian Electricity Regulatory Commission (NERC) for February 2026, only three of Nigeria’s 11 electricity distribution companies met the regulator’s acceptable metering benchmark. That means more than 70 per cent of the country’s DisCos are still operating below expected standards.
The numbers paint a familiar picture in Nigeria’s power sector, where estimated billing remains one of the biggest complaints among electricity consumers.
Nationally, active electricity customers increased from 12.23 million in January to 12.31 million in February 2026. But only 7.21 million customers had prepaid meters as of February, giving the country a metering rate of 58.57 percent.
In simple terms, more than five million electricity users are still without meters.
Among the best-performing distribution companies were Eko Electricity Distribution Company, Ikeja Electric, and Abuja Electricity Distribution Company, all of which crossed the 70 percent metering benchmark set by NERC.
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Eko DisCo recorded the highest metering rate at 87.62 percent, followed by Ikeja Electric at 87.16 percent, while Abuja DisCo posted 79.37 percent.
Outside those three companies, the numbers dropped sharply.
Yola Electricity Distribution Company recorded the lowest metering rate at 31.86 per cent, while Jos Electricity Distribution Company, Kano Electricity Distribution Company, and Kaduna Electricity Distribution Company all remained below 36 percent.
The figures also point to a widening regional gap, with many northern states continuing to experience some of the country’s weakest metering coverage.
Even the pace of new installations remains relatively slow.
Between January and February 2026, distribution companies installed a combined 241,590 meters nationwide. While that represents some progress, industry analysts say the pace is still far below what is needed to close Nigeria’s metering gap anytime soon.
NERC records show that DisCos installed 542,738 meters throughout 2024, lower than the 609,585 installed in 2023. Earlier years produced stronger figures, including roughly 850,000 installations in 2022.
At the current rate, analysts estimate it could take close to eight years to fully close the metering gap, especially as new customers continue joining the national grid.
That slow progress has become increasingly difficult to justify given the amount of money already committed to solving the problem.
In November 2025, Nigeria secured a $500 million World Bank facility partly aimed at improving electricity distribution performance and accelerating meter rollout. Before that, another US$155 million World Bank-supported programme was launched to provide 1.2 million meters nationwide.
Funding has also come through several local intervention schemes. The Meter Asset Financing programme reportedly mobilised around ₦21 billion through electricity tariffs approved by NERC. The Presidential Metering Initiative received about ₦700 billion in public funding, while the National Mass Metering Programme attracted another ₦59.3 billion to support installations across the country.
Yet despite years of interventions, millions of consumers are still trapped under estimated billing arrangements that regularly spark disputes between customers and electricity companies.
For households and small businesses already dealing with rising tariffs and inflation, the issue goes beyond inconvenience. Prepaid meters determine whether consumers pay only for the electricity they actually use or continue receiving charges they cannot independently verify.
The latest figures suggest that while investment in Nigeria’s power sector continues to increase, one of its most basic promises, giving every customer the ability to properly measure their electricity usage, is still far from being achieved.
