The Nigerian Electricity Regulatory Commission (NERC) has disclosed that Benin and Togo owe Nigeria $8.84 million for electricity consumed in the fourth quarter of 2024. Despite some payments, overall remittances by international customers remain low, raising concerns over Nigeria’s energy revenue.
Nigeria’s electricity regulator has revealed that Benin and Togo owe a combined $8.84 million in unpaid electricity bills for the fourth quarter of 2024. According to a report by the Nigerian Electricity Regulatory Commission (NERC), both nations have yet to fully remit payments for power supplied through Nigeria’s generation companies (GenCos).
The report outlines that six international bilateral customers, including entities in Benin and Togo, were billed a total of $14.05 million for electricity consumption during Q4 2024. However, only $5.21 million was remitted, reflecting a low 37.08% payment performance. The biggest debtors include Odukpani-CEET in Togo, which owes $2.37 million, and Paras-SBEE in Benin, which was billed $2.65 million.
While some payments were made towards outstanding debts from previous quarters, the remittance rate remains a significant concern for Nigerian authorities. The report highlights that domestic customers within Nigeria also struggled with payments, remitting only 63.36% of their total bill for the same period.
One major defaulter, Ajaokuta Steel Company, continues a longstanding trend of non-payment, failing to settle its ₦1.27 billion electricity bill. The NERC has urged the federal government to intervene in the issue of non-payment by both domestic and international customers, as these debts put additional strain on Nigeria’s already struggling power sector.
Despite these challenges, Nigeria continues to export electricity to neighboring countries under bilateral agreements. However, the persistent issue of unpaid bills raises concerns about the sustainability of these cross-border power supply deals.
