The Nigerian Electricity Regulatory Commission (NERC) has disclosed that three neighbouring countries — Togo, Niger and the Benin Republic — owe Nigeria a combined $11.57 million for electricity supplied under bilateral agreements in the third quarter (Q3) of 2025.
According to NERC’s Q3 2025 report, the market operator (MO) issued a total invoice of $18.69 million to international electricity offtakers during the period. However, only $7.12 million was remitted, representing a 38.09 per cent payment performance.
The commission identified the defaulting international customers as Compagnie Énergie Électrique du Togo, Société Béninoise d’Énergie Électrique of the Republic of Benin, and Société Nigérienne d’Électricité of the Republic of Niger. These entities receive power supplies from Nigerian electricity generation companies (GenCos) through bilateral arrangements within the Nigerian Electricity Supply Industry (NESI).
“The three (3) international bilateral customers being supplied by GenCos in the NESI made a payment of $7.12 million against the cumulative invoice of $18.69 million issued by the MO for services rendered in 2025/Q3, translating to a remittance performance of 38.09%,” the report stated.
On the domestic front, NERC said local bilateral customers recorded significantly better remittance levels. The commission disclosed that domestic customers paid ₦3.19 billion out of the ₦3.64 billion invoiced by the MO for Q3 2025, translating to an 87.61 per cent remittance performance.
The regulator also noted that some customers settled outstanding obligations from previous quarters. “It is noteworthy that some bilateral customers also made payments for outstanding MO invoices from previous quarters, as follows: the MO received $7.84 million from the international bilateral customers and ₦1,299.66 million from the domestic bilateral customers,” NERC said.
However, NERC expressed concern over the continued non-payment by Ajaokuta Steel Company Limited and its host community, classified as a special customer. The commission said the customer failed to remit any payment toward the ₦1.03 billion invoice issued by the Nigerian Bulk Electricity Trading (NBET) Plc, as well as an additional ₦100 million invoice from the MO during the review period.
Describing the situation as a longstanding issue, NERC said it has formally communicated the need for urgent intervention to relevant federal government authorities to address the persistent non-compliance.
The commission warned that weak remittance levels, particularly from international customers, could strain liquidity in the power sector and undermine the sustainability of electricity supply agreements.
Melissa Enoch
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