Nigeria's 11 DisCos Generated N199 Billion in Q1 2022 - Report
Nigeria's 11 Electricity Distribution Companies (DisCos) generated N199.90 billion in combined revenue for the first quarter of 2022, according to the Nigerian Electricity Regulatory Commission's (NERC) Quarterly Report ).
The document released by the regulator on Thursday states that a total of N199.90 billion was collected by all DisCos in the first quarter of 2022 out of the N295.69 billion billed to customers.
This translates to a collection efficiency of 67.36%, which is a reduction of 1.98 percentage points from Q4 2021, when the average collection efficiency was 69.34%.
In monetary terms, the report states that although invoicing in the first quarter of 2022 decreased by 7.41 billion naira (-2.44%), revenue collected decreased at a higher rate of 5.22 % to N10.98 billion.
The regulator said it was imperative for DisCos to use technologies and operational procedures to increase both their billing and collection performance to prevent long-term financial challenges.
"These could include comprehensive energy accounting procedures, meters for customers and infrastructure, etc.," he said.
DiscountsAs for market rebates, the regulator said the combined bills of Nigeria Bulk Electricity Trading Plc (NBET) and Market Operator (MO) to Discos in the first quarter of 2022 amounted to N205.63 billion.
He said the bills were broken down into production costs (N164.86 billion) and transmission/administrative services (N40.77 billion).
He said that of this amount, the DisCos have collectively handed over a total sum of N135.69 billion. But with an outstanding balance of N69.94 billion, this corresponds to a remittance performance of 65.99% in the quarter.
The report indicates that the poor rebate is a direct result of DisCos performing above the authorized technical, commercial and collection (ATC&C) performance.
In addition, the report states that there were 26 grid-connected power plants in the first quarter of 2022, comprising 19 gas-fired plants, four hydroelectric plants, two steam plants and one gas/steam plant.
>He said the average available generating capacity of the plants during the quarter was 4,712.34MW, which represents a decrease of 13.78% (-753.38MW) from 5,465, 72 MW recorded in the fourth quarter of 2021.
"Total energy received by all DisCos in Q1 2022 was 7,300.05 GWh, while electricity billed to end customers was 5,649.21 GWh, indicating average billing efficiency by 77.38%.
“This billing efficiency represents a +1.02pp increase from 76.56% in Q4 2021,” he said.
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Nigeria's 11 Electricity Distribution Companies (DisCos) generated N199.90 billion in combined revenue for the first quarter of 2022, according to the Nigerian Electricity Regulatory Commission's (NERC) Quarterly Report ).
The document released by the regulator on Thursday states that a total of N199.90 billion was collected by all DisCos in the first quarter of 2022 out of the N295.69 billion billed to customers.
This translates to a collection efficiency of 67.36%, which is a reduction of 1.98 percentage points from Q4 2021, when the average collection efficiency was 69.34%.
In monetary terms, the report states that although invoicing in the first quarter of 2022 decreased by 7.41 billion naira (-2.44%), revenue collected decreased at a higher rate of 5.22 % to N10.98 billion.
The regulator said it was imperative for DisCos to use technologies and operational procedures to increase both their billing and collection performance to prevent long-term financial challenges.
"These could include comprehensive energy accounting procedures, meters for customers and infrastructure, etc.," he said.
DiscountsAs for market rebates, the regulator said the combined bills of Nigeria Bulk Electricity Trading Plc (NBET) and Market Operator (MO) to Discos in the first quarter of 2022 amounted to N205.63 billion.
He said the bills were broken down into production costs (N164.86 billion) and transmission/administrative services (N40.77 billion).
He said that of this amount, the DisCos have collectively handed over a total sum of N135.69 billion. But with an outstanding balance of N69.94 billion, this corresponds to a remittance performance of 65.99% in the quarter.
The report indicates that the poor rebate is a direct result of DisCos performing above the authorized technical, commercial and collection (ATC&C) performance.
In addition, the report states that there were 26 grid-connected power plants in the first quarter of 2022, comprising 19 gas-fired plants, four hydroelectric plants, two steam plants and one gas/steam plant.
>He said the average available generating capacity of the plants during the quarter was 4,712.34MW, which represents a decrease of 13.78% (-753.38MW) from 5,465, 72 MW recorded in the fourth quarter of 2021.
"Total energy received by all DisCos in Q1 2022 was 7,300.05 GWh, while electricity billed to end customers was 5,649.21 GWh, indicating average billing efficiency by 77.38%.
“This billing efficiency represents a +1.02pp increase from 76.56% in Q4 2021,” he said.
Support the integrity and credibility journalism of PREMIUM TIMES Good journalism costs a lot of money. Yet only good journalism can guarantee the possibility of a good society, an accountable democracy and a transparent government. For free and continued access to the best investigative journalism in the country, we ask that you consider providing modest support to this noble endeavour. By contributing to PREMIUM TIMES, you help sustain relevant journalism and keep it free and accessible to everyone.Donate
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