Power revenue shortfall hit Nigeria’s electricity sector in July 2025, as distribution companies collectively missed ₦49.18 billion in collections.
Ikeja Electric topped the charts, collecting slightly more than billed, while Jos DisCo lagged far behind, recovering less than 40% of its billed amount.
Power Revenue Shortfall Hits ₦49 Billion
NERC reported that the 11 DisCos and Aba Power Limited Electric (APLE) together fell short by ₦49.18 billion.
Although slightly better than June’s ₦55.74 billion deficit, NERC’s Factsheet showed deep inefficiencies in revenue collection across the sector.
Top And Mid-Tier Performers
Ikeja Electric led the sector, collecting ₦40.84 billion from ₦40.03 billion billed, achieving 102.05% efficiency.
Eko DisCo followed with 86.56% efficiency, while Benin DisCo collected 95.19% of its billed amount, showing steady progress.
Ibadan and Abuja DisCos performed solidly, collecting 82.81% and 80.26% of their billed amounts, maintaining consistent revenue recovery.
Enugu and Port Harcourt DisCos settled in the mid-tier, achieving 78.34% and 76.07% collection efficiency respectively.
Struggling DisCos And Sector Risks
At the lower end, Yola DisCo collected 67.80%, while Aba, Kano, and Kaduna DisCos brought in 61.81%, 58.61%, and 45.41%.
Jos DisCo performed worst, collecting only ₦4.59 billion of ₦11.81 billion billed, just 38.95% efficiency.
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Executive Director of PowerUp, Adetayo Adegbemle, said these figures reveal only part of the sector’s problem.
He explained DisCos recover only 40% of supplied energy, while the Federal Government covers remaining tariff shortfalls.
Adegbemle warned removing these payments would make it extremely difficult for DisCos to meet 100% of their Collection Rate Target.
The Collection Rate Target is ₦210 per kWh; the average approved tariff is ₦116 per kWh, and average recovery is ₦89 per kWh.
Some DisCos recover as little as ₦30–₦41 per kWh, showing inefficiencies persist despite regulatory reforms.
Analysts say the gap between billed energy, collections, and costs exposes the sector’s fragile financial state and risks long-term instability.
Without tariff reviews and stricter performance enforcement, Nigeria’s power sector will remain on shaky ground, threatening reliable electricity nationwide.
