The Ajaokuta Steel Complex could lose access to electricity over N5.46 billion in unpaid energy and market service charges, according to the Nigerian Electricity Regulatory Commission.
The debt accumulated in 2025 after the steel company and its host community failed to make any payment against invoices issued by the Nigerian Bulk Electricity Trading Plc and the electricity Market Operator.
NERC disclosed the development in its 2025 Annual Report, warning that the continued default could ultimately lead to the complex being disconnected from its electricity providers.
The commission said NBET billed Ajaokuta N4.96 billion for energy supplied during the year, while the Market Operator raised a separate N500 million invoice for service charges.
Neither obligation was settled, leaving the complex with a combined outstanding debt of N5.46 billion.
NERC said it had referred the matter to relevant Federal Government ministries in an effort to find a lasting solution to the recurring default.
It warned that unless the outstanding obligations were addressed, Ajaokuta could face disconnection on account of its “gross indebtedness.”
The disclosure comes as the Federal Government continues efforts to revive the steel complex, which has remained largely inactive for decades despite successive attempts to restore production.
The electricity debt adds another financial hurdle to the revival of the facility and highlights the broader liquidity challenges confronting Nigeria’s electricity market.
In the same report, NERC said three international bilateral electricity customers paid 84.9 per cent of their 2025 obligations for ancillary services.
Société Nigérienne d’Électricité, Société Béninoise d’Énergie Électrique and Compagnie Énergie Électrique du Togo were billed a combined $73.91 million and remitted $62.75 million.
Domestic bilateral customers performed better, paying N12.75 billion out of N13.20 billion billed for ancillary services, representing a 96.6 per cent remittance rate.
NBET handles bulk electricity trading between generators and distribution companies, while the Market Operator oversees the commercial administration of Nigeria’s electricity market.
NERC’s latest warning is not the first time Ajaokuta has faced the prospect of electricity disconnection over unpaid bills, raising questions about whether the latest escalation will result in actual enforcement.
