Returns for DisCos: Unclogging billing system by metering innovations
Controversies over electricity tariff have been a bane in the power sector since the privatisation of the distribution companies DisCos took effect in 2013. Issues revolving around arguments of the determination of billings, as charges for electricity consumed, have been heavily contested with resistance from the end users who have consistently raised alarm over what they believe is a randomly drafting of bills with unbalanced mechanics incommensurate with energy consumed.
The grievances have seen reactions of different sorts, including those having to do with resistance to paying bills, by-passing connections known as ‘energy theft’, and at critical end, aggression against workers of DisCos in attempt to disconnect bill defaulters from power source. Since the privatisation of DisCos took effect from 2013, the need for returns has become much resounding for private operators who took over the companies from the public domain driven by the Government. Like every private entity would do everything not to run at a loss, the need for measures for these companies to break even and remain in business with profit is non-negotiable.
However, it has become glaring that the necessary infrastructures to facilitate the coordination of mutual relevance, from the top side of the distribution operators to the receiving end of the users, have not been so fortified enough to achieve the desired result. The inconsistencies, among other glitches from other lines of the production chain, have been the ground for resistance from some parts, and grievances in some other quarters over the use and charges of electricity in the Country. Hence, a line of tussle has been drawn within some quarters on the determining instruments that guide the drafting of billings viz-a-viz the value of electricity consume. One resounding submission which has been given as a plausible solution to pragmatically resolving the controversies has been the course of metering. This, as argued, holds the potency to demystify the disarrays of misunderstanding which appear to be surrounding the subject of billing, given its non-precise features of determining measurements of charges based on energy used.
While the case has remained tenable with several advantages including energy preservation, current flow, easy system of returns for the DisCos, it remains unapplaudable that the pace of a full blown metering system to guide the consumption of power in the Country has been very slow. On Wednesday, the Abuja Electricity Distribution Company (AEDC) disclosed that in the coming months it will deliver about 180,000 pre-paid meters to customers in its franchise area in a bid to close the 300,000 metering gap. The Company said it already has about 50,000 meters in stock, affirming to its customers that more would be procured and installed in the coming months. According to report, the new initiative captured under the Meter Assets Provider (MAP) progranne would see the installation of 135,000 single phase meters and 45,000 three phase meters.
AEDC’s Chief Technical Officer, Engr. Oluwafemi Zacchaeus, while addressing journalists in the Federal Capital Territory on Wednesday, February 09, 2022, explained that MAP gives customers the option of paying for a meter while the money is refunded to them through the issuance of energy credit over a period of 36 months. Etim also explained that the MAP scheme is in response to the efforts of AEDC to ensure that all customers are metered in line with the policy of the Federal Government. He added that regulated price for single phase meter is N63,061.32 (VAT inclusive) while a three phase meter goes for N117,910.69 (VAT inclusive). According to him, AEDC has developed a platform that allows electricity customers to buy energy directly from the company’s website rather than go through a third party.
“To get a meter, under this scheme, AEDC customers are required to apply by registering on the company’s website at www.abujaelectricity.com. After this, a site verification is conducted and payment notification is then sent to the customer and finally metering of the customer’s property is executed. Our customers are assured of a seamless processing of their application for a meter. Customers are also assured of the fact that meters will be installed within 10 days of the receipt of their application for a meter.
“With this platform, customers are not only assured of the elimination of extra charges such as service charge, commission and convenience fees. They are also assured of easy reconciliation of their account, 24/7 online real time service, as well as instant value for the energy purchased from any part of its franchise area,” he explained.
It is high time all DisCos devised and deployed user friendly processes, coordinated in like patterns as those of MAP to facilitate the course of an overarching metering system. This is essential to eliminate the clustering clauses of apprehension and controversies which have shrouded the traditional billing system of old, which largely has outlived its relevance and as such, brewing resistance and clogs of contention.
Since the Government may not likely subsidise delivery of meters as may be expected, the need to capitalise on strategic measures with innovative processes to coordinate interest towards the agenda of a well coordinated system of electricity distribution in the Country is essential. In addition to distilling the perceived controversies, the task of garnering returns for the DisCos would be much more appealing, and thus making their projections from returns very determinable. This will salvage the system from the disarray of confusion, disaster of losses and consumers’ resistance borne by unclear billing system.
