Nigeria’s electrical energy distribution firms (DisCos) recorded a major enchancment of their income assortment within the second quarter of 2025, with complete earnings reaching N564.71 billion.
This was contained within the newly launched Second Quarter 2025 Report by the Nigerian Electrical energy Regulatory Fee (NERC).
The determine represents a 1.68 share level rise in assortment effectivity in comparison with the earlier quarter.
NERC reported that out of N742.34 billion billed to prospects throughout the quarter, 76.07% was efficiently collected — a modest enhance from 74.39% recorded within the first quarter of 2025, when DisCos collected N553.63 billion out of N744.26 billion billed.
Eko, Ikeja, and Port Harcourt DisCos lead in effectivity
Three DisCos — Eko, Ikeja, and Port Harcourt — have been highlighted for attaining outstanding assortment effectivity, with Eko DisCo topping the chart at 87.80%. Port Harcourt and Ikeja DisCos additionally recorded notable beneficial properties, enhancing by 9.79 share factors and 4.89 share factors, respectively, in response to NERC.
Different high performers embody Benin (+5.04pp), Ibadan (+4.20pp), and Yola (+0.88pp) DisCos, which confirmed various levels of progress in income assortment throughout the quarter.
“In 2025/Q2, three (3) DisCos recorded assortment efficiencies higher than 80% with Eko (87.80%) recording the very best assortment effectivity,” NERC reported.
Jos, Abuja DisCos lag behind
Regardless of the general sectoral enchancment, some DisCos skilled a decline of their capacity to gather income from shoppers. Jos DisCo recorded the bottom assortment effectivity at 43.82%, whereas Abuja DisCo posted a 3.93 share level decline in efficiency in comparison with the earlier quarter. Jos DisCo additionally noticed a 3.37 share level drop.
NERC attributed these shortfalls to operational inefficiencies, billing disputes, vitality theft, and low customer metering ranges in some areas.
The regulator famous that the rising assortment effectivity, albeit gradual, is essential for enhancing the liquidity of the electrical energy market. Improved collections immediately impression DisCos’ capacity to settle obligations to the Transmission Firm of Nigeria (TCN), the Nigerian Bulk Electrical energy Buying and selling (NBET) firm, and technology firms (GenCos).
What you need to know
In its 2024 annual report, NERC revealed that electrical energy distribution firms (DisCos) collectively remitted a complete of N1.18 trillion.
This remittance determine represents the gross sum with an impressive deficit of N185 billion, translating to an total remittance efficiency of 86.47%.
DisCos collected N509.84 billion within the This autumn 2024 out of the N658.40 billion billed to prospects, in response to NERC.
In response to NERC, this interprets to a set effectivity of 77.44%, marking an enchancment from the earlier quarter.
Nairametrics stories that the effectivity price of Discos decreased by 4.76 share factors, dropping from 79.31% in Q2 to 74.55% in Q3.
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