Nigeria’s electricity distribution companies (DisCos) recorded stronger commercial performance in the fourth quarter of 2025, with revenue collections rising, metering improving and electricity supply increasing, even as the total number of electricity customers remained below the level recorded a year earlier.
The latest Electricity Report released by the National Bureau of Statistics (NBS) showed that electricity customers increased by 130,000, or 1.11 per cent, to 12.16 million in the fourth quarter from 12.03 million in the preceding quarter. However, the figure represented an 8.52 per cent decline from the 13.30 million customers recorded in the corresponding period of 2024.
Metering continued to improve during the quarter, with the number of metered customers rising to 6.97 million from 6.66 million in the third quarter, representing a 4.58 per cent increase. On a year-on-year basis, metered customers grew by 12.18 per cent from 6.21 million recorded in the fourth quarter of 2024.
The number of customers on estimated billing fell to 5.20 million from 5.37 million in the previous quarter, a decline of 3.20 per cent. Compared with the corresponding period of 2024, estimated customers declined by 26.67 per cent, reflecting continued progress in the rollout of electricity meters.
Revenue performance also strengthened during the quarter. The 11 DisCos generated N630.93 billion, compared with N570.26 billion in the third quarter, representing a 10.64 per cent increase. On a year-on-year basis, revenue collections rose by 23.75 per cent from N509.84 billion.
Electricity supply equally improved, rising to 6,627.56 gigawatt-hours (GWh) in the fourth quarter from 6,158.52 GWh in the preceding quarter, representing a 7.62 per cent increase. Compared with the corresponding period of 2024, electricity supply increased by 6.76 per cent.
The improving commercial performance extended into 2026, with the Nigerian Electricity Regulatory Commission (NERC) reporting that the DisCos collected N203.61 billion from electricity consumers in April.
According to NERC’s Commercial Performance Factsheet, the distribution companies collected N203.61 billion out of total billings of N252.43 billion during the month, translating to a collection efficiency of 80.66 per cent, an improvement of 1.07 percentage points over March.
The commission said the DisCos received electricity valued at N302.96 billion but billed customers N252.43 billion, resulting in a billing efficiency of 83.32 per cent, although this represented a marginal decline of 0.57 percentage points from the previous month.
NERC also reported that the industry’s revenue recovery efficiency stood at 82.11 per cent, with average actual collections of N102.13 per kilowatt-hour against an approved average tariff of N124.39 per kilowatt-hour.
Among the 11 distribution companies, Eko DisCo recorded the highest revenue recovery efficiency at 102.09 per cent, followed by Abuja DisCo at 89.77 per cent and Ikeja Electric at 88.89 per cent.
Taken together, the NBS and NERC data indicate that the commercial performance of Nigeria’s electricity distribution industry continued to improve, supported by stronger revenue collections, expanding metering and better collection efficiency. However, the decline in the overall customer base compared with a year earlier suggests the sector still faces challenges in sustaining customer growth alongside ongoing operational improvements.