Nigerian Power Sector Loses N310 Billion in Q1 2026

The Nigerian Electricity Regulatory Commission (NERC) reported that electricity distribution companies in Nigeria lost N310 billion in the first quarter of 2026 due to unbilled energy and poor revenue collection. Despite receiving electricity worth N907 billion during this period, 11 distribution companies failed to bill a significant portion of the energy supplied, resulting in cumulative losses from unbilled energy and uncollected revenue reaching N309.73 billion.

This included N150.36 billion from unbilled energy and N159.37 billion from uncollected revenue. In January, the companies received energy valued at N336.43 billion but only collected N204.74 billion, leading to N63.46 billion in uncollected revenue.

February saw improvements, with Eko Electricity Distribution Company achieving a 100% revenue recovery efficiency. However, Kaduna Electricity Distribution Company remained one of the weakest performers with a recovery efficiency of just 41.20%.

The report underscores ongoing commercial challenges in Nigeria's power sector, including energy theft and inadequate metering.