Nigeria’s electricity meter manufacturers have withdrawn a lawsuit against the federal government, paving the way for the deployment of 1.55 million smart meters under government-backed programmes aimed at reducing the country’s metering shortfall.
The Association of Meter Manufacturers of Nigeria (AMMON) filed a notice of discontinuance at the Federal High Court in Kano after intervention by Power Minister Joseph Tegbe, who brokered talks between the manufacturers and key government agencies, the Ministry of Power said on Tuesday.
The lawsuit had resulted in an injunction issued in April, suspending procurement processes under the Distribution Sector Recovery Programme (DISREP), the Meter Acquisition Fund Phase 3 (MAF 3) and the Presidential Metering Initiative (PMI). The programmes are central to the government’s efforts to expand access to prepaid electricity meters and reduce estimated billing.
The ministry said resolving the dispute allows the stalled procurement process to resume, enabling faster deployment of smart meters across the country.
It added that the settlement followed collaboration involving the Ministry of Power, the Bureau of Public Enterprises (BPE), the Transmission Company of Nigeria (TCN) and other stakeholders.
According to the ministry, the agreement addresses concerns raised by local meter manufacturers while remaining consistent with domestic and international competitive procurement rules.
It said the resolution aligns with the federal government’s industrial development agenda, which seeks to increase local manufacturing participation without disrupting financing arrangements for the metering programmes.
Nigeria has long struggled with a shortage of electricity meters, forcing millions of consumers onto estimated billing.
The government views wider deployment of prepaid meters as key to improving revenue collection by electricity distribution companies, reducing commercial losses and increasing transparency in the power sector.
Separately, the Abuja Electricity Distribution Company (AEDC) said repair work had begun at the C2 Maitama Substation after authorities resolved a dispute over encroachment on the facility.
The company said electricity supply to Maitama and neighbouring areas would be restored as repairs progress.
