Electricity distribution companies in Nigeria grew their collections to N1.132 trillion in the first half of 2025, up 39.7 percent from N810.86 billion in the same period last year, despite growing consumer dissatisfaction over poor service delivery.

Figures obtained show that revenues moved from N178.68 billion in January to a peak of N199.85 billion in April, before easing slightly in subsequent months.

The rise comes at a time when many Nigerians face worsening blackouts, unreliable supply, and heavy dependence on generators, solar systems, and inverters. The Transmission Company of Nigeria has also struggled to evacuate about 16,384 megawatts generated by power plants.

According to Sunday Oduntan, head of the Association of Nigerian Electricity Distributors, the Tinubu administration’s policies have provided a more favorable business environment, boosting investments, supply, and collections.

Consumer advocate Adetayo Adegbemle of PowerUp Nigeria added that the rollout of prepaid meters under NERC’s Meter Acquisition Fund is beginning to impact revenue, but stressed that subsidies remain a major drag on the sector.

He noted that for years, the government covered the gap between the actual cost of electricity and the lower tariff charged to consumers. Although intended as relief, subsidies drained public funds, with payments exceeding N600 billion in 2022 and projected to surpass N1 trillion in 2024.

With the 2020 Service-Based Tariff designed to gradually eliminate subsidies, successive administrations have moved toward full cost-reflective pricing. Still, stakeholders question why revenues are surging while consumers continue to suffer epileptic supply and high bills.