The Nigerian Electricity Regulatory Commission (NERC) has reported a sharp decline in revenue remittance by electricity distribution companies (DisCos) in the second quarter of 2025.
According to the Commission’s Q2 2025 Quarterly Report, DisCos collectively remitted ₦399.20 billion to the electricity market during the period, representing a 27.9 percent decrease compared to ₦553.63 billion remitted in the previous quarter.
The report revealed that the DisCos’ cumulative upstream invoice for Q2 2025 stood at ₦417.35 billion, comprising ₦348.66 billion for DRO-adjusted generation costs from the Nigerian Bulk Electricity Trading Plc (NBET) and ₦68.68 billion for transmission and administrative services provided by the Market Operator (MO).
NERC attributed the drop in remittance to persistent liquidity challenges in the power sector, as well as rising operational costs and collection inefficiencies among some distribution companies.
The Commission reiterated its commitment to improving market discipline, ensuring transparency, and promoting cost-reflective tariffs to strengthen the financial sustainability of the electricity value chain.
