Nigeria is facing a growing cross-border electricity payment crisis, as three West African countries, Togo, Niger, and Benin owe a staggering $17.8 million (over N25 billion) for electricity supplied under bilateral arrangements, the Nigerian Electricity Regulatory Commission (NERC) has disclosed.
According to NERC’s Third Quarter 2025 report, these international customers were invoiced $18.69 million, but remitted only $7.125 million, leaving more than half of their bills unpaid.
Legacy invoices from prior quarters also remain largely unsettled, with $6.23 million still outstanding. The total debt, combining previous and current arrears, stands at $17.6 million.
NERC identified the defaulters as Compagnie Énergie Électrique du Togo, Société Béninoise d’Énergie Électrique, and Société Nigérienne d’Électricité, all of whom receive electricity generated by Nigeria’s grid-connected power companies.
The commission noted that the international bilateral customers’ remittance rate was a meager 38.09 per cent, highlighting poor payment discipline and a growing risk to Nigeria’s electricity revenue.
In contrast, domestic bilateral customers performed significantly better, paying N3.19 billion out of N3.64 billion invoiced, representing 87.61 per cent compliance, while Nigeria’s 11 electricity distribution companies remitted N381.29 billion out of N400.48 billion, achieving a 95.21 per cent remittance rate.
The report exposes a sharp divide between domestic and international customers, with the underpayment by neighboring countries threatening both revenue streams and the financial sustainability of Nigeria’s electricity sector.
NERC emphasized that the figures are based on reconciled market settlements submitted as of December 18, 2025, signaling a persistent problem in cross-border electricity settlements that requires urgent attention.
