AGS NEWS – Despite low power generation, electricity distribution companies in Nigeria increased monthly revenue from N95 billion in January to N100 billion in March 2024.

Data from the Nigerian Electricity Regulatory Commission (NERC) showed N97 billion revenue in February.

This revenue growth occurred amid significant power supply drops due to gas shortages. In January, Discos received 2,577 gigawatt-hours (GWh) of power and billed 2,072 GWh, achieving 80% billing efficiency.

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They billed N130.9 billion but collected N95 billion, a 72% efficiency rate, with an average tariff rate of N59.89k per kilowatt-hour and an actual average collection of N36.97k/KWh.

In February, energy received by Discos fell to 2,149 GWh, with 1,759 GWh billed and N97 billion collected from N113 billion billings.

In March, 1,975 GWh was billed from 2,468 GWh received, generating N100 billion from N126.5 billion billings.

The increase in revenue was attributed to a tariff hike, with the average tariff in March at N62.73k/KWh and an actual collection of N40.69k/KWh.

In March, Ikeja Disco led with N20 billion in revenue, followed by Eko and Abuja Discos with N16.7 billion each.

Ibadan Disco generated N10 billion, while Benin and Enugu collected N7.5 billion and N6.9 billion, respectively.

Newly inaugurated Aba Power generated N1.1 billion, and Yola Disco earned N1.5 billion. Overall, Discos generated N292 billion in the first quarter of 2024.

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In January, nationwide blackouts occurred due to gas shortages, with power generation dropping below 2,500 MW from around 4,000 MW. Discos apologized to customers, citing insufficient supply.

The NERC removed electricity subsidies in Band A areas, raising the tariff to N206 per kilowatt-hour.

Despite labor protests, the Minister of Power, Adebayo Adelabu, asserted that the tariff increase would attract investments and improve the power sector’s liquidity.