Electricity Distribution Companies (DisCos) recorded a combined revenue shortfall of N92.93 billion in October after failing to fully bill and collect for power supplied during the month, according to industry data.
Figures from the Nigerian Electricity Regulatory Commission’s (NERC) October commercial performance factsheet show that DisCos billed customers N255.19 billion out of N303.85 billion worth of energy received, leaving a billing gap of N48.66 billion. Of the amount billed, only N210.92 billion was collected, resulting in an additional N44.27 billion collection deficit.
The gap between energy received and energy billed reduced overall billing efficiency to 83.99 per cent, down 2.45 percentage points from September 2025. NERC attributed the decline to lingering technical, commercial and metering constraints that continue to hinder effective revenue conversion across the distribution segment.
Although collection efficiency edged up marginally to 82.66 per cent—an improvement of 1.4 percentage points month-on-month—the difference between billed and collected revenue remained wide. As a result, DisCos were unable to recover a significant portion of the value of electricity delivered during the period.
NERC data further showed that while the allowed average tariff stood at N116.25 per kilowatt-hour, actual average collection was N95.89 per kilowatt-hour. This translated to a recovery efficiency of 82.49 per cent, representing a 0.96 percentage point decline. The Commission noted that instances where collection or recovery efficiency exceeds 100 per cent typically reflect payments of outstanding bills from previous months.
Performance varied widely among individual DisCos. Abuja Electricity Distribution Company received energy valued at N46.32 billion but billed N38.93 billion, achieving a billing efficiency of 84.05 per cent. It collected N34.39 billion, resulting in a collection efficiency of 88.35 per cent and a recovery efficiency of 88.3 per cent, with actual average collection of N104.46 per kilowatt-hour against an allowed tariff of N118.30.
Benin DisCo ranked among the weakest performers. From N30.38 billion worth of energy received, it billed N19.84 billion, translating to a billing efficiency of 65.32 per cent. Collections stood at N16.61 billion, while recovery efficiency dropped to 65.16 per cent, with average collection of N76.39 per kilowatt-hour compared to the approved N117.23.
Eko DisCo recorded one of the strongest billing outcomes, charging customers N40.29 billion out of N42.10 billion received, a billing efficiency of 95.71 per cent. It collected N37.67 billion, pushing collection efficiency to 93.5 per cent, though recovery efficiency settled at 101.65 per cent, reflecting variations between actual collections and tariff assumptions.
Enugu DisCo billed N20.95 billion from N26.11 billion received, posting an 80.23 per cent billing efficiency. It collected N16.91 billion, with recovery efficiency at 77.67 per cent. Ibadan DisCo billed N26.7 billion of the N36.33 billion received, translating to a billing efficiency of 73.51 per cent, while collections of N22.56 billion yielded a recovery efficiency of 74.16 per cent.
Ikeja DisCo emerged as one of the strongest revenue performers, billing N41.26 billion from N43.72 billion received, a billing efficiency of 94.36 per cent. It collected N42.11 billion, pushing collection efficiency above 100 per cent at 102.07 per cent.
By contrast, Jos and Kaduna DisCos posted some of the weakest results. Jos billed N13.50 billion from N15.91 billion received but collected only N5.26 billion, resulting in a collection efficiency of 38.98 per cent and a recovery efficiency of 42.28 per cent. Kaduna DisCo billed N12.63 billion from N14.93 billion received and collected N5.43 billion, with recovery efficiency at 43.70 per cent.
Kano DisCo achieved a high billing efficiency of 98.05 per cent but collected only N10.22 billion of the N17.42 billion billed. Port Harcourt DisCo collected N16.35 billion from N18.78 billion billed, recording a recovery efficiency of 82.97 per cent, while Yola DisCo billed N4.84 billion from N7.33 billion received and collected N3.36 billion, with recovery efficiency at 77.21 per cent.
