Electricity: DisCos record 36% loss despite N604bn revenue in Q2 2026 – NERC

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NERC

 

Electricity Distribution Companies (DisCos) recorded an average Aggregate Technical, Commercial and Collection (ATC&C) loss of 36 per cent in the second quarter of 2026, more than double the 16.92 per cent allowed target, despite improved revenue collection.

The Nigerian Electricity Regulatory Commission (NERC) disclosed this in its Q2 2026 operational and commercial performance report, which provides an overview of key operational, commercial, metering, and regulatory developments across the Nigerian Electricity Supply Industry (NESI).

NERC said the grid-connected power plants achieved a 90 per cent plant load factor, generating an average hourly output of 4,022.40 MWh/h during the quarter.

On the commercial side, the total energy billed by DisCos stood at N744.67 billion, representing 79 per cent billing efficiency, while total revenue collected was N603.64 billion, indicating 81 per cent collection efficiency.

The report also showed that DisCos achieved an overall market remittance rate of 94 per cent, settling N385.44 billion of invoices issued by the Nigerian Bulk Electricity Trading Plc (NBET) and the Market Operator (MO).

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In terms of customer metering, the DisCos metered an additional 350,270 customers during the quarter, bringing the national metering rate to 62 per cent.

Despite the improvements in billing and remittance, the industry continues to grapple with high losses.

The report put the average actual ATC&C loss across DisCos at 36 per cent, against an average allowed target of 16.92 per cent, underscoring persistent challenges in reducing technical losses, energy theft and collection inefficiencies.

On regulatory oversight, NERC said it issued 64 regulatory instruments in the quarter, including 35 orders and 18 Meter Service Provider (MSP) and Meter Asset Provider (MAP) certificates in line with powers under the Electricity Act 2023.

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