The Minister of Power, Adebayo Adelabu, has said that the eight million metering gap that exists in the power sector is responsible for the poor liquidity in the sector.
He said most Distribution Companies (DisCos) were unable to generate enough revenue to stay afloat because over 50 per cent of electricity consumers were unmetered.
Speaking during a facility tour of MBH Meter Factory in Shagamu along the Lagos-Ibadan Expressway, the minister reiterated the target of the federal government to bridge the gap by partnering with local manufacturers to achieve two million meters’ installation annually over the next four to five years.
Adelabu said that MBH was strategic in the realisation of the federal government’s aspiration to upgrade aged power sector infrastructure and significantly reduce the metering gap.
He further said, “We have identified poor liquidity as another major issue with smooth operation of the sector. At the foundation of this liquidity is metering which is what engenders collection by DisCos.”
