NERC Reports N509.84 Billion Revenue Collection in Q4 2024, ATC&C Loss Drops
Written by SpringNewsNG Media Limited, March 25, 2025.
The Nigerian Electricity Regulatory Commission (NERC) has reported that the total revenue collected by all electricity distribution companies (DisCos) in Nigeria during the fourth quarter (Q4) of 2024 amounted to N509.84 billion out of the N658.40 billion billed to customers. This translates to a collection efficiency of 77.44 per cent.
According to NERC’s 2024 fourth-quarter report, this represents an increase of +2.89 percentage points (pp) compared to the third quarter (Q3) of 2024, which had a collection efficiency of 74.55 per cent.
The report also highlighted the Aggregate Technical, Commercial, and Collection (ATC&C) loss, which refers to the combined billing and collection losses experienced by DisCos. In Q4 2024, the weighted average ATC&C loss across all DisCos stood at 35.22 per cent, comprising a technical and commercial loss of 16.34 per cent and a collection loss of 22.56 per cent. This figure was 10.44pp higher than the Multi-Year Tariff Order (MYTO) target of 24.78 per cent, leading to a cumulative revenue loss of N139.08 billion across all DisCos.
However, the ATC&C loss in Q4 2024 showed an improvement compared to Q3 2024, where it stood at 39.10 per cent, marking a decrease of -3.88pp. Only Yola and Eko DisCos achieved their target ATC&C losses as set by MYTO, while the rest underperformed. Kaduna DisCo recorded the worst ATC&C loss, with an actual figure of 60.65 per cent against a target of 25 per cent.
NERC further revealed that the cumulative upstream invoice payable by DisCos for http://NERC fQ4 2024 was N408.86 billion. This amount comprised N360.97 billion for the generation costs adjusted by the Nigerian Bulk Electricity Trading Plc (NBET) and N47.89 billion for transmission and administrative services by the Market Operator (MO). Out of this total, the DisCos collectively remitted N378.93 billion, including N336.63 billion for NBET and N42.30 billion for MO, leaving an outstanding balance of N29.92 billion. This resulted in a remittance performance of 92.68 per cent, an improvement from the 83.77 per cent recorded in Q3 2024.
Regarding special and bilateral customers, six international bilateral customers who purchased power from grid-connected generation companies (GenCos) made a cumulative payment of $5.21 million against the $14.05 million invoice issued to them by the MO for services rendered in Q4 2024. Similarly, domestic bilateral customers paid N1,252.58 million out of the N1,977.02 million invoiced by the MO.
The improvements in revenue collection and remittance performance indicate a positive trend in the Nigerian power sector, though challenges such as high ATC&C losses persist. NERC has urged underperforming DisCos to enhance their efficiency and ensure better service delivery to customers.
