FG targets clean, off-grid electricity

Electricity distribution companies (DisCos) recorded a revenue shortfall of N49.18 billion in July 2025, despite marginal improvements in billing and collection efficiencies, according to the Nigerian Electricity Regulatory Commission (NERC).

Data from the regulator’s factsheet showed that while DisCos billed customers N243.14 billion during the month, only N193.96 billion was recovered, representing a collection efficiency of 79.77 per cent. This leaves a revenue gap of over 20 per cent, highlighting the persistent liquidity strain in the Nigerian power sector.

The shortfall was further amplified by the gap between the allowed average tariff of N116.25/kWh and the actual average collection of N89.30/kWh, translating to a recovery efficiency of 76.82 per cent.

Effectively, DisCos recovered only about N77 for every N100 they were permitted to charge, underscoring the widening deficit in the sector’s financial flows.

Performance varied across operators. Ikeja and Eko DisCos outperformed their peers with recovery efficiencies of 103.78 and 95.58 per cent, respectively. In contrast, Kaduna, Jos, and Yola lagged with 30.34, 41.65, and 73.13 per cent, respectively, dragging overall market performance.
YESTERDAY, the Federal Government announced the determination of President Bola Tinubu to address the energy crisis in the country.

According to the government, the administration has kick-started the implementation of one of the world’s largest distributed renewable energy projects, which is the Distributed Access through Renewable Energy Scale-up (DARES) project, a $750 million World Bank-supported programme that will deliver clean and off-grid electricity to more than 17.5 million Nigerians.

The Minister of Information and National Orientation, Mohammed Idris, made this known during a joint news conference with the Secretary to the Government of the Federation, Senator George Akume, as part of activities marking the 65th Independence Day Anniversary of Nigeria.