Nigeria’s Electricity Distribution Companies recorded improved revenues in the third quarter of 2025, as the Federal Government paid ₦458.75 billion in electricity subsidies. The Nigerian Electricity Regulatory Commission says the subsidy covered 58.63 percent of total invoices from Generation Companies during the period, reflecting continued government support for the power sector.
According to NERC’s Q3 report, DisCos collected ₦570.21 billion out of ₦706.61 billion billed to customers between July and September, translating to a tariff collection efficiency of 80.7 percent. Billing efficiency also improved to 82.69 percent, even though tariffs for some customers remained frozen at July 2024 levels despite rising generation costs.
Also Read: NERC Approves ₦28bn Meter Rollout for DisCos
The regulator attributed the sustained subsidy burden to non-cost-reflective tariffs, noting that government support bridges the gap between allowed tariffs and actual generation costs. It said the subsidy was applied through DisCos’ remittance obligations to the Nigerian Bulk Electricity Trading company, and represented a reduction of about 11 percent from the previous quarter.
Leave feedback about this
You must be logged in to post a comment.