Nigeria is facing significant challenges with unpaid electricity bills from its international customers, with a total debt of $17.8 million owed by Togo, Niger, and Benin. According to the Nigerian Electricity Regulatory Commission (NERC), the three countries were invoiced $18.69 million for electricity supplied during the third quarter of 2025, but they only remitted $7.125 million, leaving an outstanding balance of $11.56 million.
The debt includes legacy invoices of $14.7 million, out of which $7.84 million was paid, leaving a balance of $6.23 million. The total debt of $17.8 million is equivalent to over ₦25 billion at the current exchange rate. The international customers, including Compagnie Énergie Électrique du Togo, Société Béninoise d’Énergie Électrique, and Société Nigérienne d’Électricité, purchased power from Nigerian generation companies under bilateral cross-border arrangements.
In contrast, domestic bilateral customers in Nigeria performed better, remitting ₦3.19 billion out of the ₦3.64 billion invoiced to them during the quarter, representing a remittance rate of 87.61 percent. The Nigerian Bulk Electricity Trading Plc and the Market Operator received a combined ₦381.29 billion from the 11 electricity distribution companies in Q3 2025, out of a total invoice of ₦400.48 billion, translating to a remittance performance of 95.21 percent.
The issue of unpaid electricity bills from international customers is not new, and Nigeria has been facing challenges in this regard despite capping exports to prioritize domestic needs due to generation shortfalls and payment indiscipline. The exports utilize Nigeria’s surplus power, but the consistent payment issues and balancing regional obligations with local demand have led to reduced export levels.
The Nigerian Electricity Regulatory Commission has noted that the figures are based on reconciled market settlements submitted to the commission as of December 18, 2025. The commission’s report highlights the need for improved payment performance from international customers to ensure the sustainability of the electricity market in Nigeria. With the country’s power sector facing significant challenges, the issue of unpaid bills from international customers is a concern that needs to be addressed to ensure the sector’s growth and development.
