DisCos Uncollected Charges Hit N669.49 Billion in 2025

In 2025, Nigeria's electricity Distribution Companies (DisCos) left N669.49 billion in billed electricity charges uncollected, as reported by the Nigerian Electricity Regulatory Commission (NERC) in its 2025 Annual Report. DisCos supplied electricity worth N3.68 trillion but billed customers only N2.99 trillion, collecting N2.32 trillion, which reflects a collection efficiency of 77.60%.

This indicates that DisCos failed to recover approximately N22.40 out of every N100 billed. The report also noted a gross billing efficiency of 81.14%, meaning N694.80 billion worth of electricity was supplied but not billed.

The financial challenges faced by DisCos are exacerbated by inefficiencies in billing and collection, limiting the Nigerian Electricity Supply Industry's (NESI) capacity for new investments. DisCos remitted N1.63 trillion, leaving a market shortfall of N89.58 billion.

This situation persists despite reforms from the Electricity Act 2023, signed by President Bola Ahmed Tinubu in June 2023, aimed at enhancing competition and investment in the sector.