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Electricity Distribution Companies earn N801billion from Nigerians despite persistent blackouts

The FrontierThe FrontierJuly 1, 2026 1053 Minutes read0

Electricity distribution companies collected a total of N801.16 billion from electricity consumers between January and April 2026 despite persistent power outages and supply constraints across the country, data obtained from the Nigerian Electricity Regulatory Commission has shown.

The commercial performance factsheets released by the regulator showed that the 11 DisCos collected N204.74bn in January, N196.68bn in February, N196.13bn in March and N203.61bn in April, bringing total revenue for the four-month period to N801.16bn.

The collections came even as households and businesses endured months of unstable electricity supply caused largely by gas shortages that crippled power generation and forced widespread load shedding, especially in February and March, reports The PUNCH.

According to the NERC data, the DisCos billed customers N1.01tn between January and April but recovered N801.16bn, leaving about N207.77bn in uncollected revenue during the period.

In January, the companies billed customers N268.20bn and collected N204.74bn, leaving N63.46bn outstanding. Billing efficiency stood at 79.72 per cent, while collection efficiency was 76.34 per cent.

In February, total billings fell to N242.29bn, with collections of N196.68bn, resulting in N45.61bn in uncollected revenue. Billing efficiency improved to 87.44 per cent, while collection efficiency rose to 81.17 per cent.

March recorded total billings of N246.43bn and collections of N196.13bn, leaving N50.30bn outstanding. Billing and collection efficiencies stood at 83.89 per cent and 79.59 per cent, respectively.

The latest NERC factsheet showed that in April, total billings increased to N252.43bn, while revenue collected stood at N203.61bn. This left another N48.82bn uncollected during the month. Billing efficiency was 83.32 per cent, while collection efficiency improved slightly to 80.66 per cent.

The reports also showed that significant volumes of electricity supplied to the distribution companies were not billed during the four months, reflecting continued metering gaps and commercial losses in the sector.

Among the utilities, Eko Electricity Distribution Company remained one of the strongest performers in revenue recovery, posting a recovery efficiency of 102.09 per cent in April. Port Harcourt, Abuja, Ikeja and Benin DisCos also recorded recovery efficiencies above 85 per cent.

However, Kaduna, Kano, and Jos DisCos continued to lag behind. Kaduna posted a recovery efficiency of 43.15 per cent in April, while Kano and Jos recorded 51.87 per cent and 52.48 per cent respectively.

The revenue performance comes against the backdrop of prolonged electricity shortages experienced during the first quarter of the year.

During the period, electricity generation dropped sharply as inadequate gas supply forced several thermal power plants to shut down or reduce output. At some points, national generation fell from around 4,000 megawatts to below 2,000MW, prompting the Transmission Company of Nigeria to ration the limited electricity available to distribution companies.

Operational data released by the Nigerian Independent System Operator showed that thermal power plants require an estimated 1,629.75 million standard cubic feet of gas per day to operate optimally. However, as of February 23, actual gas supply was about 692 million standard cubic feet per day, representing less than 43 per cent of the requirement.

Throughout the period, distribution companies repeatedly informed customers that the widespread outages were caused by generation shortfalls arising from inadequate gas supply.

Although electricity supply began to recover gradually towards the end of April, consumers have continued to express concerns over high electricity tariffs, estimated billing, and poor service delivery.

Stakeholders have also continued to advocate improved metering, reduced energy theft, and stronger infrastructure investment to enhance the financial and operational performance of the electricity distribution companies.

Meanwhile, the Lagos State Electricity Regulatory Commission has said electricity supply licensees cannot recover charges that are more than 12 months old.

The Commission disclosed this in a consumer awareness message recently published on its official social media platform as part of efforts to enlighten electricity consumers on their rights.

According to LASERC, consumers should not be made to pay charges older than 12 months except in cases involving meter tampering, illegal use of electricity, or obstruction of meter reading.

“Electricity supply licensees cannot recover charges older than 12 months, except in cases of meter tampering, illegal use, and obstruction of meter reading,” LASERC said.

 

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