Thursday, 27 June 2019

NERC’S 2018 MAP Program Terminologies And Their Interpretation


In 2018, NERC came up with a program called Meter Asset Provider (MAP) which the commission said will close the metering gap which Nigerian have experienced decades ago. The commission also said that with this program (MAP) they propose by the year 2020 every Nigeria should have gotten a prepaid meter installed in their business or residential premises. Recall that this program was birthed due to the lamentations of Nigerians on the disco’s estimated billing methodology.
Therefore if one must understand all there is to be said about the MAP program, then a good starting point should be from the definitions and interpretations of terms.

DEFINITIONS & INTERPRETATION

Act- means the Electric Power Sector Reform Act no. 6 of 2005, as may be amended from time to time.
Agreement- means the Agreement signed by the Parties and all the attached documents, including the Schedules
Associated Company- means any company in which the concerned party owns 20 percent or more of the controlling shares;
Authorized Access- means all acts related to tampering of meters in accordance with NERC Regulations and Order on Unauthorized Access
ATC&C Loss- means the Aggregate Technical, Commercial, and Collections Loss. This loss is the difference between the amount of electricity received by a Distribution Company from the Transmission Company and the amount of electricity for which it is able to collect revenue from end user/customers;
 Business Day- means any day of the week other than a Saturday or Sunday that is not a Nigerian national holiday or a day on which banks are authorized by law or executive order to be closed in the Federal Republic of Nigeria; provided, however, that in the event that such law or executive order results in banks in the Federal Republic of Nigeria being closed for more than three (3) weekdays or non-holidays in succession, the next weekday following such three (3) days shall be deemed to be a Business Day;
Billing Period- means a Metering Service Charge cycle been a calendar month.
Capital Cost- means the cost of the meter, meter accessories, financing costs, return on investment, communication infrastructure costs, installation costs, testing and certification of the metering system and all associated cost.
Commission- means the Nigerian Electricity Regulatory Commission established by the Act.
Contracting Parties- mean parties entering into a legal Agreement
Contact Center- is a customer service center equipped to handle large amounts of customer communications.
Cost of the Meter Asset- means the cost of the meter, meter accessories and all associated costs of meter installation plus a return on investment.
Customer- means any end user who is contracted to receive electricity supply from a Distribution Licensee.
Customer information- means all data related to personal information as well as electricity consumption pattern of the customers who are metered by the MAP
Distribution Company- Means the counter party to this Agreement who has been issued a distribution license under section 67 of the Act.

Distribution Company Confidential Information- shall mean any information of a confidential or proprietary nature received by MAP, directly or indirectly, from Distribution Company, or acquired or developed pursuant to the provision of the Services, including, but not limited to, business affairs, data, designs, manuals, training materials and documentation, formulas, ideas, inventions, knowledge of manufacturing processes, mask-works, methods, prices, financial and accounting data, products and product specifications, systems, and technical information and the terms of the Agreement
Distribution Licensee- means a person that has been issued a distribution licence under section 67 of the Act.
FGN- means the Federal Government of Nigeria;
Force Majeure- means an extraordinary event or circumstance beyond the control of the Bidder such as a war, strike, riot, crime or an act of God such as flooding, earthquake or volcanic eruption;
Government- means all Government of Nigeria, including the Federal Government of Nigeria (FGN), and State and Local Governments;
Incidence Response- means the organization and approaches adopted by the MAP to address and manage any breach of security of the metering system
Irrevocable payment guarantee- means an instrument assuring the MAP of a determined payment to be made by the utility into its account at the end of every month
Leveling – means the process of reconciling the accounts of MAP to capture outstanding payments made from the variance account
Licence Terms and Conditions means the terms and conditions of licences under the Act including terms and conditions on the metering of customers in NESI authorized and approved by the Commission under section 67 - 71 of the Act.
Line of Sight – means an authorization to review the data of payment going into the dedicated account
Maintenance Cost- means the planned or unplanned recurring costs required to support the ongoing operation of the metering system, meter reading and inspection as may be agreed between the parties. Where applicable, costs associated with monitoring of meter tampering and bypass shall be as agreed by the parties.
Meter- means a device that measures the amount of electric energy consumed by a customer.
Meter Asset Provider (MAP)- means a person that is granted a permit by the Commission to provide metering services which may include meter financing, procurement, supply, installation, maintenance and replacement.
Metering Installation Standards- means the requirements for the connection of meters and metering systems to an electrical circuit as specified in the Metering Code.
Metering Code- means the code issued by the Nigerian Electricity Regulatory Commission that regulates metering systems in the Nigerian Electricity Supply Industry (NESI).
Metering Service- means the services required to supply and install the Metering Infrastructure, including but not limited to insurance, warehousing along the MAP’s value chain,  installation, training, customer service/help desk options and other such obligations of the MAP related to the deployment of the Metering Infrastructure under the Agreement”;
MAP Regulations- means the Meter Asset Provider Regulations 2018.
Metering Service Agreement- means an agreement entered into between the Distribution Licensee and the MAP for the provision of metering services.
Metering Service Charge-This refers to periodic payments made by an electricity customer to cover the cost of metering services rendered by MAP. Meter service charge covers the cost of providing meters and the ongoing costs of operating and maintaining the metering infrastructure. This cost structure provides a transparent way of billing metering costs so that customers are only required to pay for their own metering services.
Metering Services Provider- means a person certified by the Commission under the MSP Regulations as a manufacturer, importer, supplier (vendor), or installer of Electric Energy Meters and /or Metering Systems.
Metering Infrastructure- means the Meters and all ancillary materials to enable successful deployment and use of the Meters and handheld devices such as customer interface units, meter boxes / enclosures, cables, circuit breakers, network or as particularly set out in Schedule 2 (Meter Specifications and Installation Requirements);
MSP Regulations means the NERC’s Guidelines for Certification of Metering Service Providers and Related Matters (Guideline No: NERC G-0112);
Multi-Year Tariff Order- means the schedule of tariffs to be paid, established by the Nigerian Electricity Regulatory Commission (NERC);
MYTO- means Multi-Year Tariff Order;
Naira- means the currency that is the legal Bid of the Federal Republic of Nigeria;
NERC- means the Nigerian Electricity Regulatory Commission;
NESI- means the Nigerian Electricity Supply Industry.
No Objection- means an authorisation issued by the Commission to qualified Applicants for the purpose of participating in a Distribution Licensee's procurement process for the provision of meters and metering services.
Permit- means a permit granted to the MAP under the MAP Regulations.
Proprietary Rights – means the rights owned by OEMs or software developers for the equipment or solutions deployed by the MAP
Quality Management System- means is a collection of articulated business processes focused on consistently meeting customer requirements and enhancing their satisfaction.
Regulations- means these Meter Asset Provider Regulations or any other specific regulation made pursuant to section 96 of the Act.
Service Agreement- means an agreement between two parties where one agrees to provide a specified service to the other.
Service Level Agreements (SLA) ­-means a contract between the Meter Asset Provider and the Distribution Licensee which defines the level of service that the Distribution Licensee expects the MAP to provide to customers.
Statutory Requirements- This refers to those requirements which are applicable by virtue of law enacted by the government.
Testing and Calibration- means all required tests to be carried out by NEMSA designated Meter Test Stations
Utility- means the electricity distribution company
Variance account- means an account set aside by the utility created from security deposit of customer to cover the cost of non-payment for meter as a result of non-vending by a customer within a given period of time.
Vending data- means record of units of electricity purchased by the customers metered by the MAP.

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