Even without stable power supply, DisCos are thriving
By Jeph Ajobaju, Chief Copy Editor
Power Distribution Companies (DisCos) made a combined N431.16 billion revenue in the second quarter of 2024 (Q2 2024), a collection efficiency of 79.31 per cent despite persistent low power supply that makes life difficult for households and businesses alike.
The latest report of the Nigerian Electricity Regulatory Commission (NERC) covering the quarter said the revenue performance was helped by a total billing of N543.64 billion, an increase of 0.20 percentage points against 79.11 per cent against Q1 2024.
Remittance performance
The report also shows that in Q2 2024,
- Remittance by Discos to upstream energy market players saw some adjustments.
- Cumulative upstream invoice payable by DisCos totalled N399.53 billion, including N343.76 billion for DRO-adjusted generation costs from the Nigerian Bulk Electricity Trading (NBET) and N55.77 billion for services by the Market Operator (MO).
- DisCos remitted a total N318.65 billion (N271.87 billion to NBET and M46.78 billion to MO), leaving an outstanding balance of ₦80.88 billion.
- A remittance performance of 79.76 per cent, a dip from 96.93 per cent performance in Q1 2024.
Remittance by special and bilateral customers
The four international bilateral customers serviced by the Nigerian Electricity Supply Industry (NESI) paid a total $9.81 million against invoiced $15.60 million in Q2 2024.
Local bilateral customers paid N1.2 billion against a total N1.9 billion invoiced.
Government paying up power debt
Abuja in May paid N130 billion as part of efforts to offset N1.3 trillion debt owed to gas suppliers in the NESI.
About N205 billion has been disbursed to date to gas suppliers to raise electricity output across the country.
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