Nigeria Spent N1.93tn on Electricity Subsidies in 2025, NERC Says

The Federal Government spent about N1.93 trillion subsidising electricity tariffs in 2025, according to the Nigerian Electricity Regulatory Commission. The amount represented 57.44 per cent of the total invoice issued by the Nigerian Bulk Electricity Trading Company. The subsidy averaged N160.69 billion monthly. It fell from N536.40 billion in the first quarter to N418.79 billion in the final quarter, but remained only slightly below the N1.949 trillion recorded in 2024. NERC said the cost was driven by the gap between electricity supply costs and the tariffs paid by consumers. Lower purchases by distribution companies and a larger share of customers on Bands A and B also contributed to the quarterly decline.

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