Electricity distribution companies in Nigeria recorded better operational performance in February 2026, even though their earnings declined, according to data from the regulator.

The report from the Nigerian Electricity Regulatory Commission showed that the 11 DisCos handled more electricity during the month, but this did not lead to higher revenue.

In total, the companies received power worth about ₦277.09bn in February, an increase from January. However, they issued bills worth ₦242.29bn, a drop compared to the previous month, despite the higher energy received.
Efficiency in billing improved to 87.44%, meaning a larger share of supplied electricity was successfully converted into customer bills.

Collection performance also strengthened, with companies recovering a higher percentage of billed amounts than in January.
Even with these gains, total revenue collected fell to ₦196.68bn, showing that improved processes did not translate into stronger cash inflows for the sector.

The regulator noted that recovery efficiency and tariff performance improved slightly, with more value recovered per unit of electricity compared to the previous month. However, a gap still remains between regulated electricity prices and actual revenue collected.

Performance was uneven across the country. Some DisCos, including those serving Lagos, Abuja, and Kano, posted strong results in billing and collections. Others, such as Kaduna and Yola, recorded weaker performance across key indicators.

Overall, the report highlights a mixed picture: electricity distribution companies are becoming more efficient in operations, but financial challenges such as weak payment capacity, energy losses, and market constraints continue to limit revenue growth.