NERC Reports Decline in DisCos Revenue Despite Improved Collection Efficiency

 

NERC DisCo Tower

The Nigerian Electricity Regulatory Commission (NERC) has revealed a decline in the monthly revenue of electricity distribution companies (DisCos), according to its June 2025 Commercial Performance Factsheet.

In June, DisCos collected N182.11 billion, marking a 4.93 percent drop from N191.57 billion in May. Despite this decrease in revenue, collection efficiency improved, rising to 76.57 percent in June compared to 73.17 percent in May. During the month, DisCos billed customers a total of N237.85 billion for energy consumed.

Top and Bottom Performing DisCos

Among the distribution companies, Eko DisCo led collections with N33.18 billion, followed closely by Ikeja Electric at N32.66 billion and Abuja DisCo with N30.11 billion. On the lower end, Yola DisCo collected N2.96 billion, Kaduna Electric N3.62 billion, and Jos DisCo N5.71 billion.

Consumer Concerns Over Billing Practices

Reacting to the figures, James Chijoke, Chairman of the Electricity Consumers Association of Nigeria, criticized DisCos for poor service delivery and unfair billing practices. He noted that:

“With over half of customers not metered, most are paying for services they did not receive… DisCos profit from issuing estimated bills. It is an unfair practice that must be urgently stamped out by the government.”

Chijoke’s comments highlight ongoing concerns over metering gaps, estimated billing, and customer dissatisfaction, which remain significant challenges in Nigeria’s power sector.

While the improvement in collection efficiency is a positive sign, experts argue that better service delivery, accurate metering, and transparency are essential to restore consumer confidence and ensure DisCos generate sustainable revenue. The NERC has previously stressed the importance of investments in metering infrastructure and regulatory oversight to address systemic issues and improve electricity supply across the country.

As Nigeria continues efforts to reform its power sector, balancing revenue generation for DisCos with affordable and reliable service for consumers remains a critical goal for regulators and industry stakeholders.