Nigerians have been as sured of an improved power supply, following the privatisation of the Power Holding Company of Nigeria (PHCN).
The director general of the Bureau of Public Enterprises (BPE), Mr. Benjamin Dikki, in a statement signed by the Head of Public Communication, Chigbo Anichebe, said that the introduction of sound maintenance culture when the private investors take over, would ensure that the current installed capacity of 6000 mega watts was exploited and put on the national grid. He said that, that alone would stabilise power supply in the country.
Dikki therefore appealed to Nigerians to give the investors ample time to increase capacity as “they, (the investors) would after take over, retool and bring in new machinery like turbines which are not easily bought off the shelf to put power on proper footing”.
According to the BPE director general, the investors would need time to re-tool after take over, between a period of two to three years to bring in the required machinery after which the country would witness increased and steady power supply.
He also allayed the fears of monopoly by the investors as the necessary frame work and institutional checks had been put in place to regulate their activities and ensure appropriate pricing.
This is just one amidst the numerous assurances for improved power supply given by the authority to Nigerians. But there seems to be a snag somewhere especially in the aspect of the order by the Nigerian Electricity Regulatory Commission (NERC) directing all the Electricity Distribution Companies to commence the implementation of a new metering scheme known as Credited Advance Payment for Metering Implementation (CAPMI).
According to NERC CAPMI’s objectives are reduction of the large number of un-metered customers, the elimination of the abuse of estimated billing, improvement of revenue collection and reduction of commercial losses.
NERC describing the scheme as a new accelerated scheme for electricity meter deployment, said it was necessary because of the high level of complaints from customers and dissatisfaction with the current estimated billing practices.
Under CAPMI scheme willing customers would be required to advance the cost of the meter and associated installation cost approved by the NERC. It assured that within 45 days of advanced payment by customers, the meter of which type is dependent on the amount paid by the customer, would be installed.
NERC’s order for immediate implementation of CAPMI implies that the acquisition and implementation of the CAPMI scheme is to be carried out by the present management of DISCOS. The type, design and features of the meters are to be determined by the present DISCOS. The CAPMI core message by NERC reads partly.
“Under the CAPMI scheme, customers who are willing to participate will be required to advance the cost of the meter and associated costs approved by NERC. Once the money is advanced, the customer will get a meter installed within 45 days of payment.
The amount to be paid by the customer will depend on the type of meter installed. No profit shall be made by the DISCO in the supply of the meters”. These are some of the mandates issued by NERC to be carried out by DISCOS so what happens when the actual investors take over? How can these be reconciled? What if the designs, types and features of the meters do not meet the expectation of the new investors? Who will then bear the brunt? Metering no doubt is fundamental to the collection of revenue and protection. It is to a large extent key to the anticipated stable power supply. But where this is handed over to the same managers whose ineptitude in the management of the distribution facilities leaves much to be desired what happens?
The inability to account for the energy got from the national grid and the losses in the power sector took place under the watch of the same DISCOS that have been asked to implement the CAPMI scheme. So how will the desired change in the power sector come to be?
According to a power expert, the would-be investors should be able to determine what type of technology the meter should be made of and the upgrading cost. The technology choice with existing facilities would create a room for smooth integration.
He argued that it would be in the best interest of the sector if the expected target was to be achieved, to allow the new investors to decide what type and quality of meters to be installed in their respective distribution zones pointing out that this would make them to be more responsible to it thus resulting in efficiency in its management.
He explained further that ordering for immediate implementation of the CAPMI scheme by the present DISCOS was more like making investment decisions for the new investors and this cannot allow for free market operation which privatisation was targeted at.
Allowing the new investors to make decisions as to the types of meter to be installed, the way it should be installed among others, he opined, would not only protect the new investors revenues which is paramount to them but would be favourable to electricity consumption and enhance efficiency thus resulting in improved power supply.