Business

Meter manufacturers drop suit against FG, paving way for 1.55 million smart meters rollout

By Stella Odueme

The Association of Meter Manufacturers of Nigeria (AMMON) has withdrawn its lawsuit against the Federal Government, ending months of legal uncertainty that stalled the procurement of 1.55 million smart meters and opening the door for the full implementation of key electricity metering programmes.

According to the Ministry of Power on Tuesday, the withdrawal followed the intervention of the Minister of Power, Joseph Tegbe, who brokered discussions between AMMON and relevant government agencies to resolve issues surrounding the procurement process.

The association formally discontinued the case by filing a Notice of Discontinuance at the Federal High Court in Kano, bringing to an end a legal battle that began after AMMON obtained an injunction in April 2026, which halted bidding for several government-backed metering projects.
With the dispute now resolved, procurement is expected to resume under the Distribution Sector Recovery Programme (DISREP), the third phase of the Meter Acquisition Fund (MAF 3), and the Presidential Metering Initiative (PMI), all designed to bridge Nigeria’s metering deficit.

The breakthrough was achieved through engagements involving the Federal Ministry of Power, the Bureau of Public Enterprises (BPE), and the Transmission Company of Nigeria (TCN).

According to officials, the parties agreed on a framework that addressed the concerns of indigenous meter manufacturers while complying with both local procurement regulations and international competitive bidding standards.

Government sources said the resolution reflects a commitment to protecting local manufacturing without jeopardising the financing and procurement processes required to accelerate meter deployment across the country.

The settlement also aligns with the Federal Government’s “Nigeria First” policy, which encourages greater participation of local industries in strategic sectors while ensuring that critical infrastructure projects are delivered without unnecessary delays.

The Ministry of Power described the development as another milestone in ongoing reforms aimed at strengthening Nigeria’s electricity sector.

It noted that the resolution supports President Bola Ahmed Tinubu’s Renewed Hope Agenda, which prioritises industrial growth, improved electricity access and enhanced service delivery.

Industry stakeholders believe the resumption of the metering programmes will significantly reduce the country’s metering gap, improve revenue collection for electricity distribution companies, and help eliminate the long-standing challenge of estimated billing faced by millions of electricity consumers.


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