By Adedapo Adesanya

Power distribution companies (Discos) are still falling short when billing customers despite receiving more electricity for distribution, according to the latest report released by the Nigerian Electricity Regulatory Commission (NERC).

An analysis by Business Post on the May 2025 factsheet shows that while Discos received 2,774.49 GWh of electricity, which translates to a 5.80 per cent increase compared to April, and billed out 2,255.51 GWh, billing efficiency dropped by 2.01 percentage points, settling at 81.29 per cent.

This means nearly 19 per cent of the electricity distributed to consumers remains unbilled, compounding the financial woes in the power sector.

Billing efficiency reflects the ratio of energy billed to the total energy received by Discos. The decline indicates that a significant portion of the energy supplied is either not recorded, lost, or distributed to customers without proper metering, all of which contribute to revenue loss.

The data from NERC during the review month also showed that out of the N261.82 billion billed to customers in May, only N191.57 billion was collected. This reflects a collection efficiency of 73.17 per cent, down by 4.42 per cent from April.

In terms of revenue recovery, Discos were allowed to collect an average of N116.25/kWh, but they managed to recover only N82.05/kWh, pushing recovery efficiency down to 70.58 per cent, a 7.32 per cent drop from the previous month.

On the billing front, Benin, Ikeja, and Eko Discos led the pack, maintaining high billing efficiencies of 88.73 per cent 87.44 per cent, and 87.62 per cent, respectively.

The factsheet showed that Eko Disco also recorded one of the highest improvements in collection performance, suggesting a solid overall commercial strategy.

On the other end, Yola Disco fared the worst, with a billing efficiency of just 63.45 per cent, and a collection efficiency of 50.59 per cent. Jos and Kaduna Discos also reported worrying figures, showing deep cracks in their billing and revenue structures.

An improvement in Nigeria’s billing and collection efficiency could help mitigate challenges amid efforts to increase power generation and supply.

By Adedapo Adesanya

The Nigerian Maritime Law Association (NMLA) has called for the removal of import duties on cabotage vessels to promote the growth of the indigenous shipping fleet ahead of the planned disbursement of the Cabotage Vessel Financing Fund (CVFF) next month.

Speaking at the 2025 NMLA Seminar held in Lagos last week, Mr Boniface Igwe, former Director of Cabotage at the Nigerian Maritime Administration and Safety Agency (NIMASA), argued that waiving import duties on such vessels would significantly lower procurement and operational costs.

He also said eliminating these duties would give local shipowners a competitive advantage over foreign operators engaged in Nigeria’s coastal trade.

“It is high time NIMASA began engaging with the Nigeria Customs Service to consider waiving certain duties in support of Cabotage implementation,” Mr Igwe stated, noting that effective and well-monitored Cabotage enforcement could boost Nigeria’s cargo tonnage, enhancing the country’s chances of securing a seat in Category ‘C’ of the International Maritime Organization (IMO) Council.

Similarly, Mr Fubara Anga, a Senior Advocate of Nigeria (SAN), stressed the need for the NMLA to present a national strategy document to the government outlining a framework for the disbursement and implementation of the Cabotage Fund.

According to him, this would ensure the fund achieves its intended goals.

Mr Anga added that building local capacity would not only strengthen the domestic shipping sector but also increase government revenue.

In his remarks, former Executive Secretary of the Nigerian Shippers’ Council, Mr Hassan Bello, described a well-structured Cabotage regime as a potential game changer for the local shipping industry.

He expressed optimism that, if properly managed, the CVFF disbursement could enable Nigerian shipowners to compete effectively with their foreign counterparts.

Recall that NIMASA has announced plans to commence the disbursement of the $700 million CVFF in August.

The CVFF, established under the Coastal and Inland Shipping (Cabotage) Act of 2003, was designed to empower Nigerian shipping companies through access to structured financing for vessel acquisition. However, successive administrations failed to operationalize the fund—until now.

By Adedapo Adesanya

The Bureau of Public Procurement (BPP) and the National Agency for Science and Engineering Infrastructure (NASENI) have signed a Memorandum of Understanding (MoU) on the implementation of the Nigeria First Policy.

Speaking at the signing in Abuja on Monday, the Director-General of BPP, Mr Adebowale Adedokun, said the partnership would promote local manufacturing, technology, innovation and economic growth in Nigeria, noting that the Nigeria First Policy promotes the use of local content and indigenous solutions to address national challenges.

Mr Adedokun said the deal aimed to create a structured bridge between production and procurement, prioritising locally made solutions in public service delivery, which would promote value for money in public procurement.

“Today, we are not just signing an agreement. We are building a pipeline from Nigerian innovation to national transformation.

“The MoU we sign today aims to align our policies with our priorities. It gives practical force to the Nigeria First Policy.

“NASENI’s innovations, from tractors to tablets, from surveillance drones to solar backup systems, will now be actively prioritised in the procurement plans of Ministries, Departments, and Agencies (MDAs).

“We are institutionalising a framework that makes local options not just preferable, but the default option before all others.”

He emphasised that the partnership was not an act of protectionism but an act of patriotism grounded in performance, as NASENI had invested in quality assurance with its products certified by Standards Organisation of Nigeria (SON) and NAFDAC.

The DG said the role of BPP was to ensure that standards were rewarded with access and that MDAs no longer needed to look outside when the best was being made in Nigeria.

He said the bureau was backing its commitment with NASENI with reform actions.

Mr Adedokun said the BPP would integrate NASENI’s catalogue into the Nigeria Open Contracting Portal (NOCOPO), making NASENI’s offerings visible, verifiable, and measurable across all MDAs.

“Between January and June 2025 alone, NOCOPO’s enhanced price intelligence helped Nigeria save over N173 billion equivalent to $155 million and €1.7 million.

“These are not just savings on paper. They are savings that free up resources for more schools, hospitals, and support for small and medium-sized enterprises.”

He added that the BPP and NASENI had set up a Technical Working Committee to synchronise production timelines with procurement cycles, which would track outcomes, identify bottlenecks, and ensure continuous improvement.

Adedokun commended NASENI for its efforts in putting Nigerian-made innovation on the map while calling on other MDAs to prioritise their products.

“I call on other sectors beyond NASENI to also come up with their own strategy for implementing Nigeria First. NASENI has led. I expect others to follow.

“To citizens, I invite you to track these procurements on NOCOPO. Your vigilance ensures our accountability.

“We have to really realise that today’s event is such that it can change our local industries, the small and medium-scale enterprises. It can change how women and youths are viewed in terms of industrialisation.”

On his part, Mr Khalil Halilu, Executive Vice-Chairman/CEO of NASENI, said the MoU was expected to attract more investments into the country and promote local manufacturing.

He said the agreement would provide priority patronage to companies that partner with NASENI.

“The MoU further strengthens our efforts, pushing the Nigerian First Policy, and we look forward to assembling more locally made items as well as promoting more industrialisation in the country.”

He noted that NASENI had received no fewer than 900 applications from companies to partner with them in the past one and a half years, because of its rebranding and new partnerships.

“This has resulted in the development of no fewer than 50 market-ready products, and we have a showroom on the Kubwa Expressway which will be showcased at our unveiling event soon.”

Mr Halilu also emphasised the importance of protecting local industries and promoting local manufacturing to prevent Nigeria from becoming a dumping ground for imported goods.

He said the agency was working on building the biggest renewable park in the region in Keffi, and had taken a portion of Abuja Industrial Park, and Abuja Technology Village to build electronics and electronic vehicles, adding that the agency had successfully attracted technology transfer and investment into the country.

He added that the agency’s policies were gender-friendly and inclusive, with women and youth forming part of its workforce.