The Nigerian Electricity Regulatory Commission (NERC) has mandated all electricity Distribution Companies (DisCos) to allocate a significant portion of their non-administrative operating expenditure to capital expenditure (CapEx) accounts. Effective from August 2026, debt-free DisCos must remit 50% of these funds to infrastructure upgrades, increasing to 60% by February 2027. DisCos with outstanding market debts are subject to a separate framework, requiring them to prioritize remittances to the Nigerian Bulk Electricity Trading Plc (NBET) and the Market Operator alongside infrastructure investments. This directive aims to force financial discipline and bridge the infrastructure gap in the power sector, as many DisCos struggle to access external financing for network rehabilitation. DisCos must now maintain dedicated CapEx accounts and secure NERC approval for all funded projects.