The Republic of Benin and Togo have accumulated a debt of $8.84 million for electricity supplied to them by Nigeria in the fourth quarter of 2024, according to a report by the Nigerian Electricity Regulatory Commission (NERC).
The report, which detailed the remittances made by both domestic and international customers, revealed that six international bilateral customers paid only $5.21 million out of a total invoice of $14.05 million issued by the Market Operator for the period. This represents a remittance performance of just 37.08 per cent.
Among the international customers, Paras-SBEE in Benin Republic paid $2.65 million, while Paras-CEET, also in Benin, settled $1.64 million. Transcorp-SBEE (Ughelli) paid $1.71 million out of its $3.59 million invoice, while Transcorp-SBEE (Afam 3) remitted $0.90 million from its $1.2 million bill. Meanwhile, Odukpani-CEET in Togo remains indebted by $2.37 million.
The only international customer to fully pay its invoice was Mainstream-NIGELEC, which settled its entire $2.60 million bill.
On the domestic front, NERC reported that Nigerian bilateral customers paid ₦1.25 million against a total invoice of ₦1.98 million, translating to a 63.36 per cent remittance rate.
In contrast, Ajaokuta Steel Company Limited and its host community failed to make any payments towards their ₦1.27 billion (NBET) and ₦0.11 billion (MO) invoices for Q4 2024. NERC stated that this non-payment trend has persisted for years, prompting the regulator to seek federal government intervention.
Meanwhile, electricity distribution companies (DisCos) across Nigeria generated ₦509.84 billion in the last quarter of 2024, representing 77.44 per cent of the ₦658.40 billion billed to customers. This marks an improvement from Q3 2024, where DisCos collected ₦466.69 billion from ₦626.02 billion billed, with a collection efficiency of 74.55 per cent.
NERC noted that the 77.44 per cent collection efficiency in Q4 2024 reflects a 2.89 percentage point increase from the previous quarter.
With significant outstanding debts from both local and international customers, NERC has urged defaulting entities, particularly Benin and Togo, to meet their financial obligations to sustain Nigeria’s electricity supply industry. The commission also emphasized the need for stronger enforcement mechanisms to curb persistent non-payment, especially from long-term defaulters like Ajaokuta Steel.
