The Republics of Benin and Togo have failed to pay over $11m owed to Nigeria for electricity supplied in the first quarter of 2025, according to the latest report from the Nigerian Electricity Regulatory Commission.

The bilateral customers from both countries — including SBEE (Société Béninoise d’Énergie Électrique) and CEET (Compagnie Energie Electrique du Togo) — remitted only a fraction of their invoices.

Togo’s CEET, for instance, received power through two bilateral deals (with Odukpani and Paras Energy) and made no payments at all for the quarter. SBEE, which also has two bilateral contracts (via Transcorp and Paras), remitted just a portion of its dues.

Among the defaulters were PARAS-CEET (Togo), which remitted only $0.63m out of $1.92m; TRANSCORP-SBEE (Afam 3), which paid $0.3m of a $1.73m invoice; TRANSCORP-SBEE (Ughelli), with $1.82m paid against $4.97m; and ODUKPANI-CEET and PARAS-SBEE, both of which made no payment, according to the report.

Of the $17.24m invoiced to all six international bilateral customers, only $5.8m was paid — a remittance rate of 33.70 per cent, the report said. Only Niger Republic’s NIGELEC, which received supply through Mainstream Energy, fully settled its $3.03m invoice.

In contrast, Benin’s SBEE and Togo’s CEET collectively owed over $11m, with minimal or no payments made.

These defaults are part of a larger trend of poor remittance compliance among Nigeria’s international electricity customers, raising questions about the financial viability of cross-border energy trade.

NERC has repeatedly threatened to cut supply to the two countries, warning that such persistent shortfalls threaten the stability of Nigeria’s electricity market.

On the domestic front, the report showed that performance was stronger but still with some challenges. Some bilateral customers reportedly defaulted or made partial payments, and others were only settling old arrears.

While MSTM/Inner Galaxy paid its N1.64bn invoice in full, companies such as NDPHC/SUNFLAG, TAOPEX/KAM INT, TAOPEX/Kam Steel, and Sapele/Phoenix made no payments despite invoices totalling hundreds of millions of naira.

Other notable partial defaulters included NDPHC/WEEWOOD, which paid N71.74m out of N104.03m; NORTH SOUTH/STAR PIPE which paid N21.51m of N32.39m; Trans Amadi (OAU) and Trans Amadi (FMPI), which jointly remitted N23.57m of N35.98m Alaoju GENCO/APLE, with only N100 million paid out of N455.36m, showing a remittance rate of 21.96 per cent.

NERC also noted with concern that Ajaokuta Steel Company, a designated special customer, failed to make any payment on its N1.38bn (NBET) and N134.05m (MO) invoices, continuing a longstanding trend of non-payment.

Experts warn that these persistent defaults — both foreign and local — cast a shadow on the sustainability of bilateral and special supply arrangements in Nigeria’s electricity market.