Local pre-paid meter manufacturer retrenches workers over low patronage

The Vice-Chairman, Unistar Hi-Tech Systems Ltd., Lagos, a local meter manufacturing company, Mr Atilade Bolarinwa, has disclosed that his firm had retrenched more than 70 per cent of its workforce.

Bolarinwa told the News Agency of Nigeria (NAN) in Lagos that the situation followed the low patronage of its products by electricity distribution companies in the country.

He said the low patronage from investors in the distribution segment of the national electricity sector had made the company to stop production.

He added that the already produced meters were now warehoused.

``Presently, the Ikeja and Eko Electricity Distribution Companies have not bought a single pre-paid meter from the company since they were privatised but we thank God the Ibadan Electricity Distribution Company (IBEDC) is trying.

``They have so far bought five thousand meters from the company since inception and there is no complain whatsoever from them.

``We have over 200,000 meters on ground and we can’t produce again until we sell the one in the warehouse,” Bolarinwa said.

He said that if the other distributions companies follow the approach of IBEDC and patronise the local meter manufacturing companies, the issue of lack of pre-paid electricity meters nationwide would be minimised.

Bolarinwa also urged Federal Government to liberalise the meter market to allow manufacturing companies sell directly to individuals, corporate organisations and the Nigerian Electricity Regulatory Commission (NERC) approved vendors.

``Government should liberalise the meter market so that individuals can also buy meters from the approved NERC vendors and installers.

``If the market is liberalised, more electricity consumers will be metered and it will go a long way in addressing the crazy bills syndrome and estimated billing system.

``Because some distribution companies are not willing to give meters to customers that is why government should allow meter manufacturers to sell directly to the consumers.

``Government should also create an enabling environment for manufacturers to excel, adding that only the distribution companies that manufacturers can sell,” he said.

Bolarinwa said the government should patronise the local manufacturers by making sure that the one million prepaid meters the government promised to give Nigerian consumers were bought from local manufacturers.