Nigeria’s electricity sector is once again at the centre of regional and domestic debate following the disclosure by the Nigerian Electricity Regulatory Commission (NERC) that neighbouring countries Togo, Niger Republic, and the Republic of Benin owe Nigeria a combined debt of N25 billion for electricity supplied.
The revelation has reignited concerns over revenue leakages, cross-border power trade arrangements, and the long-standing financial crisis facing Nigeria’s power sector.
The disclosure, contained in a recent regulatory update by NERC, highlights the growing challenge of unpaid electricity exports even as Nigeria continues to struggle with power shortages, weak infrastructure, and liquidity constraints at home.
Nigeria remains a major electricity supplier within the West African sub-region, exporting power to neighbouring countries under bilateral and multilateral agreements coordinated through the West African Power Pool. Through this framework, Nigeria supplies electricity to Togo, Niger, and Benin via interconnected transmission lines designed to promote regional integration and energy security.
The revelation that Togo, Niger, and Benin owe Nigeria ₦25 billion for electricity supplied underscores the deep structural and financial challenges confronting Nigeria’s power sector. While regional electricity trade remains an important pillar of West African cooperation, unpaid debts threaten the sustainability of these arrangements and exacerbate domestic power challenges.
As pressure mounts on authorities to act, the situation presents an opportunity for Nigeria to recalibrate its electricity export policy, strengthen enforcement mechanisms, and ensure that regional leadership does not come at the expense of domestic stability. The coming months will determine whether the debt issue becomes a turning point for reform or another unresolved burden on Nigeria’s fragile power sector.