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
Israeli Strike Hits Beirut as Tensions Escalate Despite Ceasefire
Israel has carried out a strike on the Lebanese capital, Beirut, marking only the second attack on the city since a ceasefire came into effect last month.
The Israel Defense Forces (IDF) said the operation, launched at about 14:00 local time (11:00 GMT), was conducted in a “targeted manner”, though officials did not immediately release further details about the intended target.
Israeli media, citing unnamed security sources, reported that the strike was aimed at Ali al-Husni, described as the head of the missile force in the Imam Hossein Division, an Iranian-backed militia aligned with Hezbollah.
The strike hit Dahieh, the densely populated southern suburb of Beirut regarded as Hezbollah’s main stronghold in the capital. Thick smoke rose above residential buildings following the explosion, while residents were heard calling out for relatives and neighbours as emergency crews rushed into the area.
The latest escalation comes despite efforts to maintain a fragile ceasefire between Israel and Hezbollah. Both sides have repeatedly accused each other of violating the agreement through cross-border attacks and military operations.
According to reports, Israel had previously avoided striking Beirut after a request from Donald Trump. However, the latest attack followed waves of Israeli airstrikes targeting Hezbollah infrastructure in southern Lebanon.
The renewed military activity also comes after Israeli Prime Minister Benjamin Netanyahu announced an expansion of ground operations following Hezbollah drone attacks on Israeli troops stationed in southern Lebanon and civilians in northern Israel.
On Wednesday, the IDF warned Lebanese residents to move north of the Zahrani River, approximately 40km from the Israeli border, saying Israeli forces would operate “with extreme force” in affected areas.
Lebanon’s health ministry said at least 11 people were killed in two separate Israeli strikes that targeted the city of Tyre and nearby eastern areas early on Thursday.
Videos shared on social media from Tyre showed streets illuminated by flames, smoke covering roads, and several vehicles damaged or burning. In daylight footage, a large fireball could be seen erupting near high-rise residential buildings, sending a mushroom-shaped plume of smoke into the sky as debris scattered through nearby streets.
The latest developments underline the continuing instability along the Israel-Lebanon border, with growing concerns that repeated exchanges of fire could trigger a wider regional confrontation involving Iran-backed armed groups and Israeli forces.
News
New Hamas Military Commander Killed in Gaza City Strike
The head of the military wing of Hamas, Mohammed Odeh, has been killed in an Israeli strike in Gaza City, only days after the death of the group’s previous military commander in a separate attack.
Local medics and witnesses said the strike, which took place on Tuesday, also left dozens of people injured after a residential building in one of Gaza City’s busiest market districts was hit.
The Israeli military and the Shin Bet security agency said the operation targeted buildings allegedly being used as a hideout by Odeh. According to a joint statement, Israeli forces had tracked his movements and those of his associates over several months before carrying out the strike.
On Wednesday, Hamas confirmed that Odeh had died in the attack along with his wife and two of his children.
Although a ceasefire between Israel and Hamas was agreed in October, incidents of violence have continued to occur across the Gaza Strip on an almost daily basis, highlighting ongoing tensions despite international hopes for a more stable security situation.
Tuesday’s strike hit the top three floors of the al-Kayali building in central Gaza City, where crowds had gathered for shopping activities ahead of the Muslim holiday of Eid al-Adha.
Emergency and rescue teams quickly moved to the scene to assist victims and search through the damaged structure. However, witnesses said rescue operations were slowed by severe destruction to the building and heavy congestion in the surrounding streets.
In a statement, the Israel Defense Forces and Shin Bet said: “As part of the joint operation by the IDF and Shin Bet to eliminate the terrorist Mohammed Odeh, several buildings in the heart of Gaza City that served as a hideout for him were attacked, after months of intelligence surveillance in order to track his movements and the movements of his assistants in the organisation.”
The statement added that Israeli forces also struck “a nearby apartment belonging to a Hamas terrorist who raided on October 7 and was part of Odeh’s circle of assistants,” referring to the Hamas-led attack on southern Israel that sparked the war in Gaza.
The latest developments come as international mediators and humanitarian organisations continue to push for renewed efforts aimed at reducing violence and improving conditions for civilians affected by the prolonged conflict.
News
Four Killed After School Minibus Hit by Train in Belgium
Two schoolchildren and two adults have died after a train collided with a school minibus in the Belgian town of Buggenhout.
The crash happened shortly after 08:00 local time as the minibus was transporting pupils to a special education school, according to Belgian federal police.
Police spokeswoman An Berger said the vehicle was carrying seven children, along with a driver and a chaperone, when the collision occurred at a level crossing.
Berger explained that the driver had been travelling along a road parallel to the railway line before turning left onto the crossing while the safety barriers were already lowered.
A train passing through Buggenhout then struck the minibus.
Belgian mobility minister Jean-Luc Crucke confirmed reports that the crossing barriers had been down at the time of the accident.
“My first thoughts are with the victims,” he said following the tragedy.
Images from the scene showed the heavily damaged minibus lying on its side near the railway tracks in Buggenhout, a town near Aalst northwest of Brussels.
Authorities said nobody aboard the train was injured, although one passenger was treated for shock.
Zuhal Demir described the incident as “heartbreaking news” and said her thoughts were with the victims, their families and everyone affected.
Ursula von der Leyen also reacted to the crash, saying: “Today, Europe grieves with Belgium.”
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