The Federal Government paid over ₦633.30bn on electricity subsidy in the first quarter of 2024.
According to the Nigerian Electricity Regulatory Commission quarterly report, the sum represented a 150.5 per cent increase from ₦252.76 billion in Q4, 2023.
The sum paid in the first three months of the year is higher than ₦628.61bn paid from January to December 2023.
According to a breakdown of the ₦633.30bn, subsidies consumed ₦36.02bn in 2023’s first quarter, ₦135.23bn in the second, ₦204.6bn in the third, and ₦252.76bn in the fourth.
The regulator of the power market attributed the increase to the government’s currency rate harmonisation strategy and the lack of cost-reflective prices for all electricity distribution providers.
On revenue collection, the report said the DisCos recorded a shortfall, as the total revenue in the period was ₦291.62bn out of ₦368.65bn billed to customers.
Also, the total energy received by all DisCos was 7,171.93GWh while the energy billed to end-use customers was 5,769.52GWh, translating into an overall billing efficiency of 80.45 per cent.
Ikeja DisCo collected the highest revenue (₦57.88bn) in the period, followed by Eko DisCo at ₦48.74bn. While Yola DisCo collected the least revenue at ₦5.46bn.
Additionally, of the total money received during that time, the following DisCos collected: Abuja DisCo ₦48.60bn; Ibadan DisCo ₦30.35bn; Benin DisCo ₦22.46bn; Enugu DisCo ₦21.24bn; and Port Harcourt DisCo ₦20.39bn.
Kano DisCo brought in ₦13.62 billion, Jos DisCo ₦13.29 billion, and Kaduna DisCo ₦9.60 billion.
