POWER SECTOR LOSES ₦1.36TN TO REVENUE LEAKAGES, NERC SAYS

Nigeria’s power sector has lost an estimated ₦1.36 trillion to revenue leakages, according to the Nigerian Electricity Regulatory Commission.

The losses highlight persistent financial challenges within the electricity supply industry and the impact of weak revenue collection on the stability of the sector.

NERC said revenue leakages remain a major concern for the power sector, affecting the ability of electricity distribution companies and other operators to recover costs and maintain infrastructure.

The commission has continued to push for measures aimed at improving revenue collection, reducing losses and strengthening accountability across the electricity value chain.

Revenue leakages in the sector have been linked to challenges including electricity theft, inaccurate metering, unpaid bills and other weaknesses in the collection system.

NERC said addressing these issues would be important to improving the financial sustainability of the electricity market and attracting further investment into the sector.

The commission has also encouraged electricity consumers to obtain meters and ensure that their bills are properly settled, while urging distribution companies to improve their billing and collection processes.

The latest disclosure comes amid ongoing efforts by the Federal Government and industry regulators to reform Nigeria’s power sector and improve electricity supply.

Stakeholders have stressed that reducing financial losses is essential to ensuring that power companies have the resources needed to invest in generation, transmission and distribution infrastructure.

NERC said it would continue to monitor operators and enforce regulatory measures designed to improve performance across the sector.