By Stephen Simon
Nigeria’s 11 electricity distribution companies collected N1.63 trillion from consumers between January and August 2026 but failed to recover N387.19 billion of the N2.01 trillion billed during the period.
The figures, contained in the Nigerian Electricity Regulatory Commission’s latest commercial performance factsheet, highlight continuing challenges in revenue collection and financial sustainability within the power sector.
The report showed that the companies collected N220.93 billion in August, representing a 7.49 per cent increase over the N205.53 billion recorded in July.Despite the improvement, significant gaps remained in billing and revenue recovery.
The distribution companies received electricity valued at N346.49 billion in August but billed customers only N261.10 billion, leaving N85.39 billion worth of electricity unbilled.Of the amount billed, N220.93 billion was recovered, leaving N40.17 billion outstanding.
NERC put the industry’s billing efficiency at 75.36 per cent, while collection efficiency improved to 84.62 per cent from 81.95 per cent in July.Performance varied among the distribution companies, with Eko recording the highest collection efficiency at 96.29 per cent, followed by Ikeja at 84.22 per cent and Abuja at 83.63 per cent.Kaduna recorded the lowest performance at 41.90 per cent, followed by Jos at 52.80 per cent.
The figures raise fresh questions about electricity revenue management, accurate metering, billing efficiency and the financial challenges confronting distribution companies.
