Grant MAP single digit credit line to buoy access to prepaid meters, Momas tells CBN
Contrary to earlier speculation that the major challenge facing Meter Assets Providers (MAP) in Nigeria is the observed frustrating delays by electricity Distribution Companies (Discos) in signing up deliveries of prepaid meters, Chairman, Momas Electricity Meters Manufacturing Limited (MEMMCOL), Kola Balogun, has identified funding as the major crisis rocking the new sector.
MAP was a special purpose vehicle set by the Federal Government through the Nigerian Electricity Regulatory Commission (NERC) to make provision of prepaid meters available to Nigerians seamlessly.
The federal agency come up with the option of MAP when it discovered that Discos enjoy more enriching themselves using estimated billing system which had been ripping off Nigerians without commensurate supplies of electricity.
However, after rolling out preliminary conditions for securing operating licence, more than 85 firms were approved to operate as MAP, but none has been able to secure a workable business partnership with any of the 11 Discos in Nigeria.
Investigations showed that Discos were distancing themselves from MAP licencees as a way of frustrating the planned seamless delivery of meters to Nigerians who had been finding it very hard to get meters.
NERC conditions also included credible funding access which all MAPs agreed that they had prior to securing operating licences.
However, in a surprise twist, one of the frontline licencees, Momas has opened up on the issue of funding, saying only Central Bank of Nigeria’s (CBN) order to make single digit credit line available to meters manufacturers will drive effective actualisation of MAP scheme in Nigeria.
Balogun noted that implementation of MAP’s capital outlay is very huge and therefore proposed that the CBN provides credit facilities to the tune of N10 to N20 billion for each manufacturer.
According to him, “MEMMCOL is more than ready to commence work and we are at the point of negotiation in line with the execution of the MAP programme in partnership with the Discos.”
