Nigeria’s electricity Distribution Companies (Discos) recorded a 40% year-on-year revenue increase in April 2025, collecting a record N199.85 billion, even as the actual volume of electricity delivered dropped.
This is according to the latest commercial performance data released by the Nigerian Electricity Regulatory Commission (NERC), which also shows that total billing for the month stood at N257.57 billion.
The sharp rise in revenue comes exactly one year after the introduction of the Band ‘A’ tariff regime, highlighting the growing impact of tariff hikes and enhanced collection mechanisms across the power sector.
Despite the record-high collections, NERC data reveals that collection efficiency stood at 77.6%, an improvement over March’s 71.1%, though still below the threshold required to achieve full liquidity and sustainability in the Nigerian Electricity Supply Industry (NESI).
“The revenue performance is commendable, but it still falls short of what’s needed to ensure financial viability in the sector,” a NERC official stated.
Interestingly, the increased billing occurred despite a decline in energy supplied. The Discos received 2,622.46 gigawatt-hours (GWh) of electricity in April — a 9.2% decrease from the previous month’s supply levels.
Analysts attribute the sustained revenue rise to ongoing reforms, including better metering, more efficient billing systems, and targeted tariff adjustments that prioritise high-consumption and premium service customers.
As the federal government signals further tariff increases, the revenue gains may continue, but sector stakeholders warn that service quality and energy delivery must improve to maintain consumer confidence.
