Electricity Discos Generate N603bn Revenue in Q2 amid Subsidy Debt Over N321bn for Federal Government

In a significant development for Nigeria’s power sector, the 11 electricity Distribution Companies (Discos) operating across the country generated a total revenue of N603.64 billion in the second quarter of 2026, according to THISDAYLIVE. However, this achievement comes amidst concerns about an accumulating subsidy debt of over N321 billion for the Federal Government.

Emmanuel Addeh’s report on THISDAYLIVE reveals that the Discos’ revenue marks a notable increase compared to Q1 where they generated N597.84 billion. The increased revenue is attributed to higher electricity demand due to economic recovery and improving power distribution infrastructure.

Despite this positive development, the Federal Government faces a substantial subsidy debt of over N321 billion. This debt accrues from the ongoing electricity tariff subsidies aimed at cushioning consumers’ costs during the pandemic period. The government has not yet commented on when the facility began operating or any plans to address this growing subsidy debt.

The rising revenue for Discos and the subsidy debt for the Federal Government underscore the complexities of Nigeria’s power sector reform. As the country seeks to improve its economic growth, addressing these challenges will be crucial in ensuring a stable and affordable electricity supply for Nigerians.