Nigeria remains a critical power supplier in West Africa despite its ongoing domestic electricity shortages. In the first half of 2025, Benin, Togo, and Niger received power from Nigeria but now owe a combined $19.97 million.
Data from the Nigerian Electricity Regulatory Commission (NERC) reveal that only $14.81 million out of $34.78 million billed for the period has been paid. Benin’s Paras-SBEE made no payments for invoices totalling $5.19 million, while Togo’s Paras-CEET settled just $0.63 million of a $3.94 million debt. NERC has called for stronger government intervention to recover the arrears and improve regulatory oversight.
Domestically, Nigeria faces persistent grid instability and low generation efficiency. Despite an installed capacity of about 13 gigawatts, the national grid delivers only around 4 gigawatts to over 200 million citizens, with frequent system collapses recorded in 2024. To address these challenges, the government is implementing major reforms, including a $2 billion “super grid” project to boost power transmission and reliability.
Revenue collection has improved following tariff adjustments, helping the sector become more financially viable. However, experts warn that delayed payments from regional partners and internal inefficiencies threaten Nigeria’s energy ambitions and the sustainability of power integration across West Africa.