The Nigerian Electricity Regulatory Commission (NERC) has stated N1.36trn worth of electricity was lost and unpaid for in the 2025.
NERC in its annual 2025 report said a total of N3.68trn worth of electricity was generated during the year but N2.31trn was collected by 11 electricity distribution companies.
The report noted that N694.8bn electricity was lost from generation plants to the Discos network while N669.49bn was lost from bills given to electricity customers who refused to pay.
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The report explained that the total energy supplied by all DisCos in 2025 was N3.68trn and the naira value of the total energy the Disco billed their customers was N2,988.30 billion.
"This translates to a billing efficiency of 81.14%. DisCos cumulatively recorded a billing loss of N694.80 billion, driven largely by a combination of commercial losses, including energy theft and poor energy accounting; inability of DisCos to bill energy at the weighted average allowed tariff.
"The disaggregated performance of the DisCos shows that Eko DisCo recorded the highest billing efficiency of 95.41%, while Yola DisCo recorded the lowest billing efficiency of 60.99%."
The report added that after billing, the total revenue collected by the DisCos in 2025 was N2.31trn out of the total bill of N2.98trn issued to customers, leaving an outstanding balance of N669.49 billion.
"This translates to a collection efficiency of 77.60% and implies that for every N100.00 worth of energy billed to customers by DisCos in 2025, approximately N22.40 was not recovered from customers.
"The significant collection inefficiency, combined with billing inefficiency, has continued to adversely impact the financial liquidity of the industry, ultimately limiting the NESI's ability to grow and attract new investments. In 2025, Eko (87.90%) and Ikeja (87.89%) DisCos recorded the highest collection efficiencies among the DisCos, while Kaduna DisCo (45.68%) had the lowest collection efficiency."
It stated that on average, across 2025, the average allowed customer tariff in Nigeria was $0.08/kWh (approximately N124.30/kWh), which was the lowest tariff charged across the selected countries and represented only 42.11% of the average tariff charged in the other selected countries ($0.19/kWh).
It stated that in South Africa, the average electricity price is$0.27 or N399.73 while Burkina Faso allows $0.22 or N323.03 and Ghana $0.18 or N265.50.
In Ivory Coast, it said $0.14 or N207.98 is the average price while customers in Mali pay $0.23 or N342.20 with Mauritius paying $0.13 or N191.75.
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Senegal allows $0.19 or N286.15 while consumers in Sierra Leone pay $0.25or N373.18 with Ugandans paying $0.16 or N238.95 and Kenyans paying $0.22 or N327.45.
In Rwanda, it said they pay an average of $0.18 or N258.13 while in Gabon it is $0.22 or N321.55 with Namibians paying $0.15 or N227.15 and Togo allow $0.22 or N321.55.
