The Nigerian power sector operates Well below its estimated capacity, with power outages being a frequent occurrence. According to Power Holding Company of Nigeria (PHCN), the countrys peak electric demand in February 2006 was 7,600 megawatts (MW), but actual generation capability was 3,600 MW. The discrepancy between electricity demand and actual generation is mostly due to low water levels and inadequate plant maintenance. During 2005, electricity generation capacity fluctuated between 2,600 MW and 3,600 MW. The hydropower stations Kainji, Jebba, and Shiroro have seen generation affected by insufficient water, and the Lagos Egbin, Delta, and Port Harcourt Afam plants are also operating at below capacity due to poor maintenance. Only 40 percent of Nigerians have access to electricity, the majority of whom are concentrated in urban areas. Despite endemic blackouts, customers are billed for services rendered, partially explaining Nigerias widespread vandalism, power theft and PHCNs problems with payment collection. Nigerias Bureau of Public Enterprises (BPE) hopes to see increased stability in Nigerias electricity sector once the definite privatization of PHCN takes place.