Nigeria's 12 electricity distribution companies (DisCos) collected a combined revenue of N2.325 trillion in 2025, marking a significant 29% increase from N1.8 trillion in 2024, despite widespread complaints about erratic power supply, frequent outages, and estimated billing.
The figures, released by the Nigerian Electricity Regulatory Commission (NERC), highlight a paradox in the power sector: strong revenue growth for DisCos while consumers endure unreliable electricity, with generation stuck between 3,000MW and 5,000MW against an estimated demand exceeding 20,000MW.
Revenue rose due to improved tariff enforcement, cost-reflective pricing adjustments, and better billing and collection practices. Quarterly collections included N553.63 billion in Q1 and N564.71 billion in Q2 2025.
In the second half, monthly revenues ranged between N190 billion and N210 billion, with December recording N207 billion collected from N258.66 billion billed (80.22% collection efficiency).
NERC noted strong performers like Eko DisCo at 99.45% revenue recovery, followed by Yola (87.89%), Ikeja (85.32%), and Abuja (84.43%). Others, such as Benin (71.36%), Ibadan (73.19%), and Enugu (73.50%), showed moderate results.
However, persistent issues plague the sector: grid disturbances, gas shortages, ageing infrastructure, high technical losses, and low metering coverage contribute to unreliable supply.
Consumers face frequent blackouts and disputes over estimated bills, with critics arguing DisCos prioritize revenue collection over network upgrades and investments.
Energy experts emphasize that revenue gains alone won't improve service without simultaneous enhancements in generation, transmission, and distribution infrastructure.
NERC monitors these metrics closely, stating they provide insight into billing efficiency, collection, and revenue recovery key to boosting liquidity and service delivery in Nigeria's partially deregulated electricity market since the 2013 privatization.
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