Nigeria’s electricity market generated revenues of N360.54 billion in the first half of this 2021, data from the Power Sector Working Group, has showed.
The data released yesterday indicated that this was 24.57 per cent higher than the N271.96 billion generated in the last six months of 2020.
However, the data showed the power sector generated N176.27 billion in the second quarter of 2021, marking a decline of 4.45 per cent compared to the N184.27 billion generated in the first quarter.
A monthly analysis of the power sector financials in the first six months of 2021 showed that revenue has been fluctuating month-on-month.
A total of N64.98 billion was generated in January, but revenue, however, fell by 13.30 per cent in February to N57.35 billion.
Further analysis showed that revenue in March rose by 7.41 per cent to N61.94 billion but declined again in April by 8.76 percent to N56.955 billion.
In May, revenue rose by 8.24 per cent to N62.07 billion. It however fell in June to N57.25 billion, a drop of 8.42 per cent.
The Power Sector Working Group blamed poor power supply as well as glitches for the fall in revenue in the second quarter especially in the month of June.
“The regulator and policymakers are focusing in the second half of the year on boosting electricity and rolling out phase 1 of Mass Metering to boost supply to reduce tariff and increase collections.
“Procurement is being completed for most of the CAPEX interventions that will help boost supply”, the group added.
Earlier, the group disclosed that the federal government has concluded arrangements for the commencement of the second phase of its metering program tagged National Mass Metering Program which it expects to drastically reduce estimated billing by DisCos, that will ensure consumers are billed appropriately for the electricity they consume by installing meters free of charge in household and business premises that are currently unmetered.
The federal government provided funding for the program through loans from the Central Bank of Nigeria, (CBN), to DisCos.
“Meters are provided to customers free of charge. This is indeed unprecedented and has so far led to the tremendous success recorded so far”.