Nigeria’s electricity distribution companies (Discos) recorded a N128.41 billion gap between the value of electricity supplied to their networks and the revenue they collected from customers in July 2026, underscoring persistent financial pressures across the power sector.
Data from the Nigerian Electricity Regulatory Commission (NERC) showed that the 11 Discos received electricity valued at N333.94 billion during the month but billed customers N250.79 billion and ultimately collected N205.53 billion.
The figures mean the Discos recovered only about 61.5 per cent of the total value of electricity supplied to their networks, despite collecting more than N200 billion from customers.
NERC put the sector’s billing efficiency at 75.10 per cent, down from 76.24 per cent in June, while collection efficiency stood at 81.95 per cent. Actual collections averaged N97.50 per kilowatt-hour, compared with the approved average tariff of N130.15/kWh.
The performance, however, varied significantly across the distribution companies.
Eko Electricity Distribution Company (EKEDC) recorded the highest recovery efficiency at 94.67 per cent. It collected N34.78 billion against N34.17 billion billed, although the value of energy supplied to its network stood at N43.45 billion.
Port Harcourt Electricity Distribution Company followed with an 84.95 per cent recovery efficiency, collecting N18.03 billion from N21.29 billion billed.
At the other end of the scale, Kaduna Electric recorded the weakest performance. The Disco received N16.33 billion worth of electricity but billed N10.46 billion and collected just N5.22 billion. Its recovery efficiency stood at 39.71 per cent.
Jos Electricity Distribution Company also recorded a recovery efficiency below 50 per cent, at 46.27 per cent, while Kano Disco posted 55.41 per cent.
The revenue challenge comes as the country’s generation fleet continued to operate below its total available capacity.
NERC’s August 2026 operational data showed that grid-connected plants dispatched an average of 4,102 megawatts from 4,758MW of available capacity, representing 86 per cent utilisation.
Some plants recorded near-full utilisation, including Omoku 1, Olorunsogo 1, Trans Amadi 1, Afam 2, Omotosho 1 and Egbin 1.
However, several generating plants recorded no generation during the month, including Sapele 2, Alaoji 1, Geregu 2 and Ibom Power 1.
The national grid also experienced fluctuations beyond the regulatory operating limits. Frequency ranged from 49.34Hz to 50.67Hz, compared with NERC’s prescribed range of 49.75Hz to 50.25Hz.
Voltage similarly fell below and rose above the prescribed limits, ranging from 302.29kV to 349.68kV against a regulatory range of 313.50kV to 346.50kV.
The July and August figures highlight two interconnected challenges in Nigeria’s electricity market: Discos’ difficulty converting supplied power into revenue and continued operational instability across the national grid.
