News
Nigeria’s Widening Metering Gap and Rising Estimated Billing Customers
Nigeria is facing significant challenges in its effort to eliminate estimated billing by the end of 2024. The recent increase in the number of customers on estimated billing across the country’s electricity distribution companies (DisCos) highlights these hurdles. According to the Nigeria Electricity Report by the National Bureau of Statistics (NBS) for the first quarter of 2024, there has been a 10% quarter-on-quarter increase in estimated billing customers, widening the metering gap.
Key Findings
- Increase in Estimated Billing Customers:
- The number of customers on estimated billing rose from 5.83 million in Q4 2023 to 6.43 million in Q1 2024, marking a 10% increase.
- Year-on-year, the number of estimated billing customers increased by 8%, from 5.96 million in Q1 2023.
- Challenges and Government Subsidies:
- The government continues to subsidize customers not on Band A, while Band A customers on estimated billing still pay based on estimation.
- This increase highlights the persistent inability to adequately meter all customers, leading to a reliance on estimated billing.
- DisCo-Specific Data:
- Ibadan Electricity Distribution Company (IBEDC): Recorded the highest number of estimated billing customers at 1.41 million in Q1 2024, up from 1.37 million in the previous quarter.
- Enugu Electricity Distribution Company (EEDC): Saw a significant increase to 765,662 customers from 709,104 in Q4 2023.
Customer and DisCo Disputes
The reliance on estimated billing often leads to disputes between consumers and DisCos. Many consumers feel that the estimates are inflated and do not reflect their actual consumption, prompting calls for more accurate metering.
Regulatory Actions
The Nigeria Electricity Regulatory Commission (NERC) fined 11 electricity distribution companies a total of 5 billion Naira for non-compliance with mandatory capping of estimated billing for unmetered customers.
Metering Progress and Challenges
- Metered Customer Growth:
- The report shows a modest 5% quarter-on-quarter increase in metered customers, from 5.61 million in Q4 2023 to 5.91 million in Q1 2024.
- Year-on-year, metered customers increased by 11%, from 5.31 million in Q1 2023.
- DisCo Challenges:
- DisCos face financial constraints, logistical issues, and regulatory hurdles in closing the metering gap.
- Abuja Electricity Distribution Company (AEDC): Increased its metered customers to 892,028 in Q1 2024.
- Benin Electricity Distribution Company (BEDC): Raised its metered customers to 672,179 in Q1 2024.
Total Customer Base
The total number of customers served by DisCos in Nigeria has shown consistent growth:
- In Q1 2024, the total customer base grew to 12.33 million from 12.12 million in Q4 2023, a quarter-on-quarter rise of 2%.
- Year-on-year, this represents a 9% increase from 11.27 million in Q1 2023.
Notable DisCo Data:
- Ibadan Electricity Distribution Company (IBEDC): Highest total number of customers at 2.48 million in Q1 2024.
- Enugu Electricity Distribution Company (EEDC): Substantial customer base with 1.39 million in Q1 2024.
- Abuja Electricity Distribution Company (AEDC): 1.46 million customers, reflecting a significant presence in the capital region.
Presidential Campaign and Policy Implementation
President Bola Tinubu’s campaign manifesto outlined plans to eliminate estimated billing and ensure all Nigerian homes and businesses are equipped with prepaid meters. Despite these intentions, the number of estimated billing customers has seen the largest growth rate both quarterly and yearly under his administration, based on data up to 2022.
Financial and Operational Impact
The rise in estimated billing has led to collection losses for DisCos. Revenue collected by DisCos dropped by approximately 1.13%, from N294.95 billion in Q4 2023 to N291.62 billion in Q1 2024. This decline underscores the financial strain on DisCos and the urgent need for comprehensive metering solutions.
Conclusion
Addressing the metering gap requires concerted efforts from all stakeholders, including government support, investment in metering infrastructure, and improved regulatory frameworks. While there has been progress in increasing the number of metered customers, the rate of growth is insufficient to counterbalance the rapid rise in estimated billing customers. Comprehensive metering is essential for efficient billing, revenue collection, and overall customer satisfaction in Nigeria’s electricity sector.
News
Israel and Hamas Reach Historic Ceasefire and Hostage Release Agreement
U.S. President Joe Biden announced a breakthrough ceasefire agreement between Israel and Hamas, marking the end of 15 months of conflict. Speaking optimistically, Biden declared, “Soon the hostages will return home to their families,” highlighting the monumental nature of the deal.
- A complete ceasefire will take effect, accompanied by the withdrawal of Israeli forces from Gaza.
- Hamas will release all hostages, while Israel has agreed to free Palestinian prisoners in return.
- Qatar’s involvement ensured that provisions for humanitarian aid to Gaza were included in the agreement.
Qatari Prime Minister Sheikh Mohammed Bin Abdulrahman Al-Thani held a news conference in Doha, confirming the details:
- The deal sets the stage for a long-term truce, with the ceasefire beginning on January 19.
- Thirty-three Israeli hostages will be freed in the first phase of the agreement, with subsequent phases expected to follow.
- Qatar emphasized its commitment to delivering aid to Palestinians and fostering adherence to the agreement by both parties.
While the success of the deal beyond the first phase depends on the cooperation of all parties, negotiators have expressed cautious optimism.
News
Signs of Progress as Gaza Ceasefire Negotiations Continue in Qatar
Efforts to broker a ceasefire in the Gaza Strip have intensified as negotiators from Israel and Hamas convene in Qatar, with indications that an agreement may be imminent. The talks, mediated by Qatar and supported by U.S. diplomatic efforts, have reached a critical juncture, according to officials familiar with the negotiations.
For the first time in the ongoing conflict, delegations from Israel and Hamas have engaged in indirect discussions within the same building, signaling a significant shift in the dynamics of the talks. Hamas has reportedly softened its stance by dropping the condition for Israeli troops to withdraw entirely from the Gaza Strip before an agreement.
A Palestinian official shared details of the tentative plan, which includes a phased approach to hostilities and hostages:
- Hamas is expected to release three hostages immediately upon signing the agreement, with additional releases staggered over the following weeks.
- Israel would begin a partial withdrawal of troops from populated areas, with phased easing of restrictions on displaced residents.
- Civilians in southern Gaza would be allowed to return to northern areas via designated routes, monitored by a joint Qatari-Egyptian security team equipped with advanced screening technology.
- Israeli forces would retain positions in key border areas, including an 800-meter buffer zone, during the initial 42-day phase.
Israel has reportedly agreed to release 1,000 Palestinian prisoners, including long-term detainees, in exchange for 34 hostages held by Hamas. The ceasefire agreement also outlines a roadmap for subsequent phases, with further negotiations slated to begin on the 16th day of the truce.
U.S. President Joe Biden has expressed optimism about the progress, describing the deal as “on the brink” of being finalized. He has been in active communication with Israeli Prime Minister Benjamin Netanyahu and Qatar’s Sheikh Tamim bin Hamad Al-Thani to facilitate the discussions.
The resumption of talks in Qatar marks a critical step toward de-escalating a conflict that has caused immense suffering.
News
LA Fires Death Toll Rises to 16 as Evacuation Orders Expand and Health Warnings Intensify
The death toll from the ongoing wildfires in Los Angeles County has risen to 16, as evacuation orders now affect 150,000 residents. The Palisades and Eaton Fires continue to wreak havoc, prompting emergency measures and public health advisories.
According to the California Governor’s Office of Emergency Services (Cal OES), over 700 displaced residents are being sheltered in nine facilities across the county. Evacuation orders remain in effect for areas at immediate risk, while evacuation warnings advise nearby residents to prepare to leave if conditions worsen.
The Kenneth and Hurst Fires have seen progress in containment, allowing authorities to lift evacuation orders and warnings in affected areas.
In addition to evacuation efforts, officials have issued critical health warnings:
- Residents in and around Pacific Palisades have been advised not to consume tap water due to potential fire-related contamination. Bottled water is being distributed at the Westwood Recreation Center and near the Brentwood Country Club.
- The use of power air blowers, including leaf blowers, has been banned countywide to reduce the spread of ash, smoke, and particulates harmful to respiratory health.
- The public health department has issued warnings against swimming, surfing, or entering ocean waters along a 20-mile stretch from Surfrider Beach to Dockweiler State Beach. Officials caution that these waters may pose health risks to those who come into contact with them.
Amid the crisis, officials have warned against looting in evacuated areas and price hikes at hotels housing displaced residents. Authorities are working to ensure safety and fair treatment for those affected by the disaster.
With containment efforts ongoing and weather conditions remaining unpredictable, authorities urge residents to stay informed and adhere to all evacuation and health advisories. Resources, including shelters and bottled water distributions, will continue to support those impacted by one of Los Angeles County’s most devastating wildfire events in recent history.
-
Business4 days ago
US TikTok Users Migrate to RedNote as Ban Deadline Approaches
-
News4 days ago
Signs of Progress as Gaza Ceasefire Negotiations Continue in Qatar
-
News3 days ago
Israel and Hamas Reach Historic Ceasefire and Hostage Release Agreement
-
Sports3 days ago
Novak Djokovic Sets Grand Slam Record with Melbourne Victory
-
Entertainment3 days ago
Drake Files Defamation Lawsuit Against Universal Music Group Over Kendrick Lamar Song
-
Entertainment3 days ago
Linda Nolan, Beloved Singer of The Nolans, Dies at 65