Nigeria’s electricity distribution companies collected N603.64bn from customers in the second quarter of 2026, while losses across the distribution network remained significantly above regulatory targets.
The Nigerian Electricity Regulatory Commission disclosed this in its second-quarter operational and commercial performance report released on Wednesday.
According to the report, the distribution companies billed customers N744.67bn for electricity supplied between April and June, achieving a billing efficiency of 79 per cent. However, collections amounted to N603.64bn, equivalent to a collection efficiency of 81 per cent.
Despite the revenue generated, the average Aggregate Technical, Commercial and Collection losses stood at 36 per cent, exceeding the regulatory benchmark of 16.92 per cent.
The losses reflect electricity lost through technical problems in the network, commercial inefficiencies such as inaccurate billing and electricity theft, as well as difficulties collecting payments from customers.
On market obligations, the distribution companies remitted 94 per cent of their invoices during the quarter, paying N385.44bn to the Nigerian Bulk Electricity Trading Plc and the Market Operator.
The report also showed progress in customer metering, with 350,270 additional customers receiving meters during the three-month period. This brought Nigeria’s overall metering rate to 62 per cent.
Meanwhile, grid-connected power plants recorded an average plant load factor of 90 per cent, with average hourly electricity generation reaching 4,022.40 megawatt-hours during the quarter.
On regulatory activities, NERC issued 64 regulatory instruments under its powers provided by the Electricity Act 2023.
The figures highlight persistent challenges in Nigeria’s electricity distribution system, particularly in reducing technical and commercial losses, improving revenue collection and expanding metering coverage.
Although the distribution companies recorded substantial collections during the quarter, the gap between actual losses and the approved regulatory target remains a key concern for the financial sustainability of the electricity market.
