Electricity Distribution Companies (DisCos) across Nigeria recorded a combined loss of ₦158.05 billion in the second quarter of 2025, representing an Aggregate Technical, Commercial, and Collection (ATC&C) loss rate of 37.92 percent — far above the 20.54 percent benchmark set by the Nigerian Electricity Regulatory Commission (NERC).
According to NERC’s Q2 2025 Electricity Market Performance Report, the losses were primarily due to inefficiencies in billing, metering, and revenue collection across the 11 DisCos.
The report revealed that the total energy offtake by all DisCos during the quarter was ₦909.59 billion, out of which only ₦742.34 billion was billed to customers, resulting in a billing efficiency of 81.61 percent. This means DisCos could not account for ₦167.25 billion worth of electricity distributed within the period.
Of the total billed amount, DisCos collected ₦564.71 billion, reflecting a collection efficiency of 76.07 percent, a slight improvement from 74.39 percent in Q1 2025.
“The weighted average ATC&C loss across all DisCos in Q2 2025 was 37.92 percent — comprising technical and commercial loss (18.39 percent) and collection loss (23.93 percent). This figure is 17.38 percent higher than the MYTO target of 20.54 percent and translates to cumulative revenue losses of ₦158.05 billion,” NERC stated.
While the ATC&C losses reduced marginally from 39.61 percent in Q1 2025, the Commission noted that only Eko DisCo met its target, while Kaduna DisCo recorded the worst performance relative to its target.
The report also disclosed that the total upstream invoice payable by all DisCos during the quarter was ₦417.35 billion, comprising ₦348.66 billion for generation costs (NBET) and ₦68.68 billion for transmission and market operations. Out of this, DisCos remitted ₦399.20 billion, representing a 95.65 percent remittance rate, slightly below the 95.86 percent recorded in the previous quarter.
In the same period, international bilateral customers — including power utilities in Niger, Togo, Benin, and Guinea — collectively paid $9.015 million out of $17.54 million invoiced by the Market Operator (MO), reflecting a 51.33 percent payment rate. Domestic bilateral customers paid ₦1.4 billion out of ₦2.79 billion, achieving 50.10 percent remittance.
Meanwhile, the Global Energy Alliance for People and Planet (GEAPP) has lauded the federal government’s efforts toward achieving the Mission 300 initiative — a programme aimed at providing electricity to 300 million Africans by 2030.
During a visit to the Federal Ministry of Power in Abuja, GEAPP’s African Director, Labna Bhayani, commended Nigeria’s progress in power sector reforms and pledged technical assistance to support project monitoring and implementation.
“You have made significant progress in policy reforms, both in grid and off-grid programmes. We are ready to collaborate with you in technical assistance and tracking progress,” Bhayani said.
Minister of Power, Chief Adebayo Adelabu, reaffirmed that Nigeria’s focus includes solar-powered irrigation systems for farmers, describing it as a key strategy to expand rural electrification and boost agricultural productivity under the Mission 300 target.
