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Power DisCos Generate N2.3tn in 2025 Amid Widespread Complaints Over Erratic Electricity Supply

Published by Samuel Ayomide on March 10th, 2026.

Electricity distribution companies (DisCos) in Nigeria generated a combined revenue of about N2.33 trillion in 2025, despite persistent complaints from consumers about poor electricity supply, estimated billing, and frequent outages.

An analysis of revenue figures released by the Nigerian Electricity Regulatory Commission (NERC) shows that the country’s 12 power distribution companies collected approximately N2.325 trillion from electricity users throughout the year.

The figure represents a notable increase compared to the roughly N1.8 trillion recorded in 2024, reflecting a year on year growth of about N525 billion, or nearly 29 per cent.

The rise in collections occurred even as households and businesses across the country continued to report unreliable power supply and rising electricity tariffs under Nigeria’s partially deregulated power market.

Data from the regulator indicated that the distribution companies recorded revenue of N553.63 billion in the first quarter of 2025. Collections increased slightly in the second quarter, reaching N564.71 billion as utilities intensified billing and tariff enforcement.

Monthly revenue figures for the latter half of the year showed consistently high collections. In July 2025, the DisCos generated N193.96 billion from electricity consumers.

Revenue declined slightly in August to N191.11 billion, representing a drop of about N2.85 billion, or roughly 1.5 per cent, according to NERC’s industry factsheet.

The trend improved in September, when revenue rose to N196.26 billion, marking an increase of N5.15 billion compared to August.

Collections continued to grow in October, reaching N210 billion, an increase of about N13.74 billion, or approximately seven per cent, from the previous month.

However, revenue dipped slightly towards the end of the year. November collections declined marginally to N208.78 billion, while December figures dropped further to about N207 billion.

Despite the slight decline, monthly payments by electricity consumers largely remained within the range of N190 billion to N210 billion during the second half of the year.

NERC’s report also revealed that collection efficiency improved slightly in December, rising to 80.22 per cent from 77.49 per cent recorded in November.

According to the commission, the total value of electricity supplied to the distribution companies in December stood at N309.65 billion, representing a 9.54 per cent decline compared to N342.29 billion recorded the previous month.

Among the distribution companies, Eko Electricity Distribution Company recorded the strongest revenue recovery rate at 99.45 per cent, indicating near-complete recovery of its expected revenue.

Other DisCos with strong recovery performances included Yola Electricity Distribution Company at 87.89 per cent, Ikeja Electric at 85.32 per cent, and Abuja Electricity Distribution Company at 84.43 per cent.

Moderate recovery levels were recorded by several other companies, including Benin (71.36 per cent), Ibadan (73.19 per cent), Enugu (73.50 per cent), and Port Harcourt (79.29 per cent).

NERC noted that the figures provide insight into the operational efficiency of the distribution companies in terms of billing, revenue collection, and recovery critical factors for improving liquidity within Nigeria’s electricity market.

However, the strong revenue performance contrasts sharply with the experience of many electricity consumers who continue to face unreliable power supply.

Across the country, households and businesses frequently report prolonged outages, unstable feeder lines, and disputes over estimated billing due to inadequate metering.

Consumer advocacy groups have repeatedly criticised the distribution companies, accusing them of focusing primarily on revenue collection rather than investing sufficiently in infrastructure upgrades and widespread meter deployment.

Within Nigeria’s electricity value chain, distribution companies serve as the final link responsible for delivering electricity from the national grid to homes and businesses while collecting payments from consumers.

Energy analysts attribute the increase in revenue partly to tariff adjustments introduced in recent years, including cost-reflective pricing for certain categories of electricity users.

These reforms were designed to address longstanding liquidity challenges in the power sector, which have historically affected the ability of generation and transmission companies to invest in infrastructure.

Nevertheless, critics argue that the higher tariffs have not yet translated into significant improvements in electricity supply.

Nigeria’s power sector has struggled with structural challenges since the privatisation of the electricity industry in 2013, when private investors acquired the distribution companies.

Key issues include ageing infrastructure, technical losses in distribution networks, limited metering coverage, and ongoing financial constraints across the sector.

Electricity generation in the country typically fluctuates between 3,000 megawatts and 5,000 megawatts far below the estimated national demand of over 20,000 megawatts.

Frequent grid disturbances, gas supply disruptions to power plants, and transmission bottlenecks have further complicated efforts to stabilise electricity supply.

Despite these challenges, consumer payments for electricity continue to increase each year, raising concerns among industry observers about the growing financial pressure on households and businesses.

Energy experts warn that unless improvements in power generation, transmission capacity, and distribution infrastructure occur simultaneously, higher revenue collections alone will not guarantee reliable electricity supply for Nigerians.