Nigeria’s electricity distribution companies (DisCos) have recorded a modest improvement in revenue recovery performance in March 2026, even as billing and collection efficiencies showed mixed trends, according to the latest Commercial Performance Factsheet released by the Nigerian Electricity Regulatory Commission (NERC).
The report indicates that total energy received by the DisCos stood at N293.76 billion during the month, out of which N246.43 billion was successfully billed to customers, translating to a billing efficiency of 83.89 per cent.
This reflects a decline of 3.55 percentage points compared to February, suggesting persistent gaps in energy accounting and metering.
On the revenue side, the DisCos generated N246.43 billion in billings but were only able to collect N196.13 billion, resulting in a collection efficiency of 79.59 per cent.
The figure represents a slight drop of 1.58 percentage points month-on-month, highlighting ongoing challenges in revenue mobilisation across the sector.
Despite these declines, overall revenue recovery performance, an aggregate measure of how much of the allowed tariff is actually realised, improved marginally.
The industry posted a recovery efficiency of 81.05 per cent, up by 0.38 percentage points from the previous month. This suggests incremental gains in aligning actual collections with approved tariff levels.
A breakdown of performance across individual DisCos shows significant disparities. Ikeja Electric emerged as the top performer with a recovery efficiency of 99.30 per cent, indicating near-full realisation of its allowed revenue.
Eko DisCo followed with 95.73 per cent, while Benin DisCo recorded 85.18 per cent, rounding out the top three.
Conversely, several operators lagged behind the industry average, with some recording recovery efficiencies below 60 per cent, underscoring structural inefficiencies, weak collection frameworks, and customer payment challenges in parts of the network.
March performance reflects a sector still grappling with liquidity constraints despite regulatory and operational reforms.
While marginal improvements in recovery efficiency are encouraging, the dip in billing and collection efficiencies points to the need for sustained investment in metering infrastructure, loss reduction strategies, and enforcement mechanisms.
The NERC factsheet shows the critical role of operational efficiency in stabilising Nigeria’s power sector, as improved revenue recovery remains central to ensuring liquidity across the electricity value chain.
