AMMON withdraws lawsuit over meter procurement
Analysis based on 7 articles · First reported Jul 21, 2026 · Last updated Jul 22, 2026
The resolution removes a legal obstacle that delayed the deployment of 1.55 million smart meters, which is expected to accelerate revenue collection for electricity distribution companies and reduce estimated billing. This positive development for Nigeria's power sector may improve investor confidence and support the government's reform agenda.
The Steel Manufacturers Association (AMMON) withdrew its lawsuit against the Federal Government of Nigeria, ending a dispute that had stalled the procurement of 1.55 million smart meters. The withdrawal was filed as a Notice of Discontinuance at the Federal High Court in Kano after intervention by Minister of Power Joseph Olasunkanmi Tegbe, who brokered a resolution meeting between AMMON and government agencies including the Nigeria — Bureau of Public Enterprises (BPE) and the Nigeria — Transmission Company of Nigeria (TCN). The dispute began in April 2026 when AMMON secured an injunction halting bidding for metering programmes such as the Distribution Sector Recovery Programme (DISREP), Meter Acquisition Fund (MAF 3), and Presidential Metering Initiative (PMI). The resolution addressed local manufacturers' concerns within local and international procurement rules, allowing the stalled programmes to resume. AMMON President Durosola Omogbenigun confirmed the withdrawal, citing national interest and government commitments to prioritize locally manufactured meters. A joint working group was formed to expand patronage of local manufacturers and develop a backward integration strategy. The Ministry of Power, through spokesperson Adeola Adelabu, stated that the resolution aligns with President Bola Tinubu's Renewed Hope Agenda and the 'Nigeria First' policy. Closing the metering gap is expected to improve revenue collection for distribution companies and reduce estimated billing for consumers.
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