Nigeria’s electricity Distribution Companies (DisCos) posted a stronger commercial performance in September 2025, achieving 86 per cent billing efficiency, according to the latest Commercial Performance Factsheet released by the Nigerian Electricity Regulatory Commission (NERC).
The report offers a snapshot of how the 11 DisCos fared in billing, cash collection, and revenue recovery, all crucial indicators for liquidity and service delivery across the Nigerian Electricity Supply Industry (NESI).
Billing improves as DisCos tighten processes
In September, DisCos received energy worth N279.45 billion, successfully billing N241.54 billion to customers, translating to a billing efficiency of 86.43 per cent.
This marks a 2.58 per cent increase from August, driven by better metering coverage, stronger energy accounting, and more rigorous billing verification across top-performing DisCos.
Collections rise as more customers pay
DisCos collected N196.26 billion of the billed amount, reflecting a 2.69 per cent improvement from the previous month.
Collection efficiency climbed to 81.25 per cent, signalling improved customer payment behaviour and helping ease the sector’s long-running liquidity challenges.
Revenue recovery strengthens
With an approved average tariff of N116.34/kWh, DisCos achieved actual collections of N97.09/kWh, pushing revenue recovery efficiency to 83.45 per cent – up 3.67 per cent.
This points to better conversion of billed energy into cash despite challenges such as energy theft, meter bypass, poor infrastructure, and customer disputes.
Top and bottom performers
NERC’s factsheet highlights uneven performance across the sector:
- Top-tier: Eko, Ikeja, and Abuja DisCos, strong metering coverage, high billing and collection efficiency.
- Standout: Aba DisCo recorded a remarkable 102.85 per cent billing efficiency, driven by improved energy optimisation and reconciliation of legacy receivables.
- Mid-tier: Benin, Port Harcourt, Kano, moderate performance.
- Low-tier: Jos, Kaduna, Yola, below average due to weak metering, high losses, and operational bottlenecks.
Why it matters
Improved billing and collections strengthen liquidity across the power value chain, enabling better generation, transmission, and distribution services.
Analysts say sustaining progress will require reducing commercial losses, expanding prepaid metering, enforcing compliance, and rebuilding consumer trust.
