Electricity distribution companies (DisCos) in Nigeria have raised serious concerns over the non-payment of electricity bills by federal ministries, departments, and agencies (MDAs), warning that the growing debt threatens the stability of the power sector.
According to the Association of Nigerian Electricity Distributors (ANED), MDAs across the country owe power companies more than N100 billion as of November 2025. Eko Electricity Distribution Company (Eko DisCo) alone is owed N66 billion by federal government entities within its Lagos franchise area.
Speaking at a power sector roundtable organized by PwC in Lagos, Eko DisCo Managing Director, Rekhiat Momoh, described the MDA debts as a major challenge for electricity providers. “The non-payment by MDAs is one of the biggest problems we face. In Eko’s case, MDAs owe us N66 billion. Combined with debts from residential and commercial customers, the total amount owed stands at N183 billion,” she said.
ANED CEO, Sunday Oduntan, confirmed the mounting arrears, appealing to the federal government to settle the outstanding bills. “If we can recover even half of these debts, it would significantly strengthen the liquidity of the power sector,” he added.
The issue is not new. In 2024, Eko DisCo reported that federal agencies, including the military, owed N42 billion, highlighting a growing trend of unpaid bills. Abuja Electricity Distribution Company (AEDC) also threatened disconnection of power to the Presidential Villa and 86 MDAs over N47 billion in arrears.
DisCos have also faced violent reactions in attempts to recover debts. In March, the Nigerian Air Force reportedly attacked Ikeja Electric’s corporate office in Lagos following the disconnection of power over a N4 billion debt.
The failure of both federal and state governments to honor electricity payments has left many DisCos struggling to sustain network investments and deliver reliable electricity. ANED has called on authorities at all levels to address the issue urgently, warning that continued default could jeopardize electricity supply to homes and businesses nationwide.
