By Olamilekan Abayomi
Togo, Niger, and Benin are owing Nigeria a whopping $17.8 million for electricity supplied in the first quarter of 2025, according to the Nigerian Electricity Regulatory Commission (NERC). This debt is putting a strain on Nigeria’s electricity market, with NERC warning that persistent shortfalls threaten the stability of the country’s power supply.
The countries’ state-owned electricity companies, Société Béninoise d’Énergie Électrique (SBEE) and Compagnie Energie Electrique du Togo (CEET), have made minimal or no payments, with some making partial payments. Niger’s NIGELEC, on the other hand, has fully settled its $3.03 million invoice.
The debt is a result of bilateral agreements between Nigeria and its neighbors, with Nigeria supplying electricity to these countries. NERC has expressed concern over the persistent non-payment, warning that it undermines the financial viability of Nigeria’s electricity market.
The debt breakdown shows that Togo’s CEET owes $4.31 million, Benin’s SBEE owes $5.19 million, and Niger’s NIGELEC has paid its dues. The Nigerian government is taking steps to recover the debt, with NERC instructing the Electricity Market Operator to implement relevant market rules.
The non-payment trend is not limited to international customers, as domestic bilateral customers also owe significant amounts. However, domestic customers have shown stronger payment discipline, with a remittance performance of 87.61% compared to international customers’ 38.09%.
The persistent debt threatens Nigeria’s energy security and regional power trade. NERC is urging the federal government to intervene and resolve the crisis.
