DisCos’ Revenue Collection Efficiency Drops by 4.76% in Q3 2024

The Nigerian Electricity Regulatory Commission (NERC) has reported a decline in the revenue collection efficiency of Distribution Companies (DisCos) for the third quarter of 2024.

The efficiency rate decreased by 4.76 percentage points, dropping from 79.31% in Q2 to 74.55% in Q3.

This was contained in the Commission’s Q3 2024 report released on Friday.

This decline shows growing challenges in the nation’s electricity distribution sector, despite an increase in the total revenue collected.

In Q3, DisCos collected N466.69 billion out of the N626.02 billion billed to customers, compared to N431.16 billion collected from N543.64 billion billed in Q2, the report noted.

“The total revenue collected by all DisCos in 2024/Q3 was N466.69 billion out of the N626.02 billion that was billed to customers.

“This translates to a collection efficiency of 74.55%. In comparison, the total revenue collected by all DisCos in 2024/Q2 was N431.16 billion out of the N543.64 billion billed to customers which translated to a 79.31% collection efficiency.

“The 74.55% collection efficiency recorded in 2024/Q3 is -4.76pp lower than the collection efficiency recorded in 2024/Q2 (79.31%),” the report states.