Enugu slashes Band A electricity tariff to N160 per unit
The Enugu State Electricity Regulatory Commission has revealed a decrease in electricity tariffs for Band A customers, reducing the price from N209 to N160 per kilowatt-hour. This new pricing will be implemented starting August 1, 2025.This change comes after MainPower Electricity Distribution Limited officially took control of the state's electricity market. This transition was made possible after the Nigerian Electricity Regulatory Commission allowed Enugu State to oversee its own electricity generation, transmission, and distribution.
In a statement released on Sunday, the EERC indicated that the tariff modification aligns with the Enugu State Electricity Law 2023, granting the state the power to self-regulate its electricity sector.
Chijioke Okonkwo, the Chairman of the EERC, stated that the commission arrived at the revised rate using the Tariff Methodology Regulations 2024 and the Distribution Tariff Model, resulting in an average price of N94 per unit.
Okonkwo noted that the lowered tariff was made feasible through a Federal Government subsidy on electricity generation. “The rate is low because the Federal Government provides a subsidy for generation costs, contributing N45 out of the actual N112 per unit,” he remarked.
He further explained that the N160 tariff would enable MainPower to handle rate variations and maintain operational viability. The rates for customers in Bands B, C, D, and E will remain the same.
However, Okonkwo warned that the N160 rate might not be viable if the Federal Government decides to withdraw its subsidy on power generation. “Nevertheless, for the time being, it is only right that Band A customers in Enugu benefit from this reduced rate,” he stated.
To ensure adequate service delivery, the EERC also introduced a monitoring system for MainPower. The company must provide daily updates on its website regarding the number of power supply hours for each Band A feeder.
The commission emphasized, “If MainPower does not meet the promised service level on a Band A feeder for two consecutive days, it must inform the commission within 24 hours. Should the issue persist for seven consecutive days, the feeder will be downgraded to its true supply level.”
The Nigerian Electricity Regulatory Commission had previously indicated that the Federal Government stopped subsidies for Band A customers starting April 1, 2024.
Leave A Comment