Harrison EDEH
Nigeria’s 11 electricity distribution companies (DisCos) recorded 81 per cent collection efficiency representing an increase of 2.11pp(better performance) compared to 2026/Q1 (78.95 per cent),with the generationnofn ₦603.64 billion in combined revenue for the second quarter of 2026,
This was disclosed in the quarterly report by the Nigerian Electricity Regulatory Commission (NERC) said.
The report released by NERC on Monday,October 5, said electricity distribution companies (DisCos) collected ₦603.64 billion in revenue in 2026/Q2 out of ₦744.67 billion billed to customers.
The report also disclosed that the weighted average Aggregate Technical, Commercial and Collection (ATC&C) loss across all DisCos in 2026/Q2 was 36.23 per cent, comprising technical and commercial loss (21.33 per cent) and collection loss (18.94 per cent).
The ATC&C loss of 36.23 per cent is 19.31 percentage points (pp) higher than the 2026 MYTO target (16.92 per cent) and translates to a cumulative revenue loss of ₦129.073 billion across all DisCos.
“The ATC&C loss decreased by 1.21 pp (better performance) compared to 2026/Q1 (37.44 per cent).
“All the DisCos failed to meet their ATC&C targets during the quarter, with Kaduna DisCo recording the worst underperformance relative to the target (Actual – 67.70 per cent vs target – 18.18 per cent),” it said.
The regulator explained that the ATC&C loss comprises billing losses incurred by a DisCo due to its inability to bill 100 per cent of energy delivered to customers (technical and commercial losses); and collection losses arising from the DisCo’s inability to collect 100 per cent of the bills issued to customers.
On market remittance, NERC said in 2026/Q2, the cumulative upstream invoice payable by DisCos was ₦410.38 billion, consisting of ₦326.46 billion for DRO-adjusted generation costs from Nigeria Bulk Electricity Trading Plc (NBET) and ₦83.92 billion for transmission and administrative services by the Market Operator (MO).
Out of this amount, it said the DisCos collectively remitted a total sum of ₦385.44 billion (₦306.62 billion for NBET and ₦78.82 billion for MO) with an outstanding balance of ₦24.94 billion.
“This translates to a remittance performance of 93.92 per cent in 2026/Q2 compared to the 94.08 per cent recorded in 2026/Q1,” it said.
It noted that in 2026/Q2, the three international bilateral customers purchasing power from the grid-connected Generation Companies (GenCos) made a cumulative payment of $8.675 million against the $18.84 million invoice issued by the MO for services rendered in 2026/Q2 (remittance rate:46.02 per cent).
Furthermore, it said domestic bilateral customers made a cumulative payment of ₦6,912.92 million against the ₦7,551.70 million invoice issued by the MO for services rendered in 2026/Q2 (remittance rate: 91.54 per cent).
The report said in 2026/Q2, the average energy offtake by DisCos at their trading points was 3,197.03MWh/h, which represents a decrease of 112.45MWh/h (-3.40 per cent) compared to the average offtake recorded in 2026/Q1 (3,309.48MWh/h).
“Cumulatively, DisCos recorded an overall offtake performance of 94.07 per cent; the available Partially Contracted Capacity (PCC) during the quarter was 3,398.41MWh/h,” it said.
Advocate Times earlier reported that the electricity subsidy bill surged to ₦1.93 trillion in 2025, highlighting the growing financial cost of keeping customer tariffs below the actual cost of supplying electricity, even as the power sector recorded significant improvements in grid stability.
The figure, contained in the Nigerian Electricity Regulatory Commission’s (NERC) 2025 Annual Report & Accounts, represents 57.44 per cent of the total electricity generation invoice from the Nigerian Bulk Electricity Trading Plc (NBET).
