The Nigerian Electricity Regulatory Commission has reported that electricity distribution companies achieved a cumulative energy offtake performance of 94.61% in the fourth quarter of 2024.
This marks a 4.14 percentage point increase compared to the third quarter of 2024, as revealed in the recently released NERC 2024/Q4 Report.
According to the report, five DisCos surpassed the 95% threshold in taking energy allocated to them under the Power Capable Capacity system.
On the other hand, several DisCos failed to meet the 95% offtake benchmark. Yola DisCo recorded the lowest performance, with an offtake rate of 76.89%. Other DisCos, including Kaduna (87.68% up from 81.97% in Q3 2024) and Abuja (91.89% up from 86.52% in Q3 2024), also fell short of the compliance threshold.
The report also highlighted that Benin, Ikeja, Port Harcourt, and Ibadan DisCos showed quarter-on-quarter improvements, whereas Enugu DisCo saw a decline in performance.
The report stated, “At an aggregate level, the energy offtake performance of the DisCos increased by +4.14pp between 2024/Q4 and 2024/Q3,”
The report noted a recurring trend: “a reduction in available PCC across 2 quarters often leads to an increase in energy offtake performance while an increase in available PCC across 2 quarters often leads to a decrease in energy offtake performance.”
The dynamics highlight how fluctuations in system-wide generation affect the ability and willingness of DisCos to absorb allocated energy.
NERC has activated enforcement measures in accordance with the Performance Monitoring Framework Orders (NERC/2024/086 – 096), issued on July 5, 2024.
hese Orders require all DisCos to absorb at least 95% of their available PCC each quarter, with regulatory sanctions imposed on those that fail to comply.
“Pursuant to these provisions, the Commission has already commenced the appropriate enforcement actions against DisCos that did not meet the minimum off take requirement for 2024/Q4.”, the NERC Q4 2024 report says.
The enforcement action underscores NERC’s increasing commitment to promoting efficiency and accountability within Nigeria’s electricity distribution sector.
