New NERC data shows electricity distributors improved billing and cash recovery efficiency even as energy supply declined in February……
Nigeria’s electricity distribution companies recorded stronger billing and revenue collection performance in February 2026 despite a significant decline in power supply across the country, fresh industry data from the Nigerian Electricity Regulatory Commission has revealed.
According to the commission’s latest commercial performance report, the total energy received by the country’s 11 electricity distribution companies dropped sharply by 17.64 per cent in February, falling to N277.09bn from N336.43bn recorded in January.
Energy billed to customers also declined during the period, dropping by 9.66 per cent to N242.29bn compared to N268.2bn in the previous month.
Despite the reduction in available electricity, the DisCos recorded notable gains in operational efficiency. Billing efficiency improved significantly to 87.44 per cent in February, up from 79.72 per cent in January, suggesting that distributors were able to account for and bill a larger share of the electricity supplied to them.
Revenue collection also showed resilience. Although total collections dipped slightly to N196.68bn from N204.74bn in January, collection efficiency climbed to 81.17 per cent from 76.34 per cent, reflecting improved payment recovery from customers.
The latest figures come amid ongoing challenges in Nigeria’s power sector, particularly gas supply constraints that affected electricity generation during the month.
The report further showed improvements in overall revenue recovery across the sector. While the approved average tariff remained unchanged at N124.30 per kilowatt-hour, actual average collection rose by 16.64 per cent to N100.27/kWh in February, compared to N85.97/kWh recorded in January.
As a result, overall recovery efficiency increased significantly from 69.16 per cent to 80.67 per cent.
Among the distribution companies, Abuja Electricity Distribution Company posted stronger performance metrics, with billing efficiency rising to 93.70 per cent from 84.49 per cent. Its collection efficiency also improved to 89.28 per cent, while revenue recovery climbed to 95.13 per cent.
Eko DisCo emerged as one of the top-performing operators during the month. The company achieved a billing efficiency of 97.20 per cent and collection efficiency of 94.12 per cent. Its recovery efficiency exceeded the regulatory benchmark at 100.67 per cent.
Ikeja Electric also recorded improvements across key indicators, with billing efficiency increasing to 91.52 per cent and collection efficiency rising to 85.88 per cent. Its recovery efficiency stood at 85.83 per cent.
Other distribution companies including Benin, Enugu, Ibadan, Kano, Port Harcourt and Yola DisCos also reported varying levels of improvement in billing and revenue collection performance.
However, the report showed that some operators continue to struggle with revenue recovery. Kaduna DisCo posted the weakest recovery efficiency at 41.20 per cent, while Jos DisCo recorded 66.29 per cent despite improvements in collections.
The data highlights how electricity distributors are increasingly focusing on commercial efficiency and revenue optimisation, even as the sector continues to battle supply shortages and infrastructure challenges.
The monthly performance report is part of NERC’s ongoing oversight of the power sector and its efforts to monitor compliance with operational and financial performance targets set for electricity distribution companies.
