NERC Directs NISO to Install Smart Meters by 2026

The Nigerian Electricity Regulatory Commission (NERC) has issued a directive to the Nigerian Independent System Operator (NISO) to install smart meters at all boundary points by December 2026. This order, outlined in circular number NERC 2026 026, is expected to enhance transparency and efficiency within Nigeria's power grid.

The initiative aims to address the current national average transmission loss factor (TLF) of 8.71% in 2024, with a target reduction to 7.24% by 2025. However, this figure exceeds the approved benchmark of 7% as per the Multi-Year Tariff Order (MYTO) established on April 8, 2026.

The new framework will take effect on April 13, 2026, allowing NERC to monitor and regulate the electricity market effectively. NISO is required to document energy flow and file quarterly TLF reports, while TCN must submit an action plan by July 2026 to ensure TLF values do not exceed 6.5% by December 2026.