Electricity Distribution Companies (DisCos) operating in Nigeria have remitted a total of ₦381.29 billion to the Nigerian power sector in the third quarter (Q3) of 2025.
The disclosure was contained in Nigerian Electricity Regulatory Commission, NERC Q3 2025 Electricity Industry Report, released on the 6th of January 2026.
According to the latest report released by the NERC, the total upstream invoice payable by DisCos during the period stood at ₦400.48 billion.
This figure comprised ₦323.70 billion for Distribution Remittance Obligation (DRO)-adjusted generation costs payable to the Nigerian Bulk Electricity Trading Plc (NBET), and ₦76.77 billion for transmission and administrative services rendered by the Market Operator (MO).
Out of the total invoice, DisCos collectively remitted ₦381.29 billion, made up of ₦308.25 billion to NBET and ₦73.03 billion to the MO.
“This left an outstanding balance of ₦19.18 billion, translating to an overall remittance performance of 95.21% in Q3 2025. The performance, however, represented a slight decline from the 95.65% recorded in Q2 2025,” it said.
The report further showed improvements in energy accounting and billing efficiency across the sector. Total energy received by all DisCos during the quarter was 7,348.95 gigawatt-hours (GWh), while 6,158.54GWh was billed to end-use customers.
This NERC said it resulted in an energy accounting efficiency of 83.80%, marking a 1.37 percentage point increase compared to 82.43% recorded in Q2 2025.
In monetary terms, the total value of energy offtake by DisCos in Q3 2025 was ₦854.53 billion, while the value of energy billed to customers stood at ₦706.61 billion.
This translated to a billing efficiency of 82.69%, up from 81.61% in the previous quarter. Despite the improvement, DisCos recorded aggregate billing losses of ₦147.92 billion during the period.
On revenue collection, NERC disclosed that DisCos collected ₦570.25 billion out of the ₦706.61 billion billed to customers in Q3 2025.
This resulted in a collection efficiency of 80.70%, representing a significant 4.63 percentage point increase from 76.07% in Q2 2025.
The report also highlighted payment performance by bilateral customers. According to NERC, three international bilateral customers purchasing electricity from grid-connected Generation Companies (GenCos) made cumulative payments of $7.125 million against an invoice of $18.69 million issued by the Market Operator for services rendered in Q3 2025 reflecting a remittance rate of 38.09%.
Conversely, domestic bilateral customers demonstrated stronger compliance, remitting ₦3.19 billion out of the ₦3.64 billion invoiced to them during the quarter, translating to a remittance rate of 87.61%.
Overall, the Q3 2025 report indicates modest improvements in billing and collection efficiencies within Nigeria’s electricity distribution segment, even as challenges around revenue losses and bilateral customer remittances persist.