Power consumers paid N210.17 billion to distribution companies in the fourth quarter of 2021, according to the Nigerian Electricity Regulatory Commission.
This was stated in its Quarterly Report for the Fourth Quarter of 2021, which was released on Thursday, noting that N210.17 billion represented 9.34 per cent of the total electricity bill paid by consumers by electricity distribution companies during the period.
“The total revenue collected by all Discos in 2021/Q4 was N210.17bn out of N303.11bn billed to customers – corresponding to a collection efficiency of 69.34 per cent (70.89 per cent in 2021/Q3),” the regulator stated.
It added, “Compared to 2021/Q3, the total billing by Discos increased by N30.12bn (+11.03 per cent) while the revenue collected increased by only N16.64bn (+8.60 per cent), hence the reduction in overall collection efficiency in 2021/Q4.”
NERC reported that in 2021/Q4, the combined market remittance order adjusted invoices from the Nigerian Bulk Trading Company and Market Operator to Discos were N210.72 billion for generation costs, transmission costs, and administrative services.
“Out of this amount, the Discos collectively remitted a total sum of N149.19bn with an outstanding balance of N61.53bn. This represents a remittance performance of 70.80 per cent during the quarter.”
On remittance to NBET, it stated that it expected to receive N160.13 billion out of the total invoice of N205.18 billion issued by the agency to Discos, but it only received N109.45 billion during the quarter.
“Overall, the total Disco remittance performance to NBET was 68.34 per cent of the expected market remittance for 2021/Q4 compared to 65.08 per cent (N100.16bn remitted against an invoice of N153.90bn) in 2021/Q3,” the NERC stated.
Also, “During 2021/Q4, Eko and Jos Discos surpassed their MRT to NBET by 32.64 per cent (+4.87 billion) and 0.86% (+0.03 billion) respectively.”
The commission stated that the total invoice from MO to Discos in 2021/Q4 for which a 100% remittance was expected, was N50.58bn.
It said, “However, only N39.75bn was received from all the Discos which means that the MO remittance performance for the quarter was 78.59 per cent.
“This represents a 2.58 percentage point increase compared to 76.01 per cent (N41.53bn remitted against an invoice of N54.64bn) recorded in 2021/Q3.”
Regarding remittances by special/international customers, the report stated that in 2021/Q4, the NBET and MO issued invoices of N380.62m and N82.53m to Ajaokuta Steel Company Limited, respectively, but no remittance was made by this special customer, as it had in the previous quarter.
“During the same period, MO issued an invoice of $13.11m to bilateral customers (Paras-SBEE, TRANSCORP-SBEE, Mainstream-NIGELEC & Odukpani-CEET) but no remittance was made (payment of $6.22m was made in 2021/Q3 against invoice of $11.52m),” the regulator stated.