In a landmark move aimed at delivering cost relief to electricity consumers in Enugu State, the Enugu State Electricity Regulatory Commission (EERC) has announced a major tariff revision, reducing the Band A electricity tariff from ₦209 to ₦160 per kilowatt-hour (kWh).
The new tariff takes effect from August 1, 2025.
The Commission also declared a tariff freeze on Bands B, C, D, and E, meaning no changes to electricity rates for customers in those categories.
The announcement was contained in Order No. EERC/2025/003, titled “Tariff Order for MainPower Electricity Distribution Limited 2025,” issued over the weekend. MainPower Electricity Distribution Limited is the successor to the Enugu Electricity Distribution Company (EEDC) and now operates under Enugu’s state-regulated electricity market.
Backed by Law, Driven by Consumer Needs
EERC’s decision is anchored on the Enugu State Electricity Law 2023, which empowers the state to regulate electricity generation, transmission, and distribution exclusively within its borders. The law is a direct implementation of Nigeria’s 2023 Constitutional Amendment on power devolution and the Electricity Act 2023, which repealed the long-standing Electric Power Sector Reform Act of 2005.
The changes introduced by the Electricity Act include the legal separation of distribution and supply operations and grant states full regulatory authority over their electricity markets.
Why the Reduction?
Mr. Chijioke Okonkwo, EERC chairman, explained that the Commission arrived at the revised tariff after a comprehensive review of MainPower’s cost and tariff submissions, guided by the Commission’s Tariff Methodology Regulations 2024 and the Distribution Tariff Model.
“We determined a cost-reflective average tariff of ₦94/kWh, which is significantly subsidised by the Federal Government. This subsidy keeps generation tariffs at ₦45, whereas the actual cost is ₦112,” said Okonkwo.
Based on this analysis:
- Band A customers will now pay ₦160/kWh.
- Bands B, C, D, and E tariffs are frozen to shield lower-tier consumers from any rate shock.
Okonkwo clarified that the ₦160 tariff for Band A is structured to help MainPower manage cash flow without overburdening consumers. Should the Federal Government withdraw its generation subsidy in the future, tariff adjustments may be inevitable.
“But until then, it is only right that Ndi Enugu, particularly Band A customers, enjoy reduced tariffs starting August 1, 2025,” he added.
Monitoring to Protect Consumers
EERC says it has instituted robust monitoring and evaluation mechanisms to ensure MainPower delivers on its service commitments:
- Daily power supply records for each Band A feeder must be published by 9 a.m. the following day.
- Service failure on Band A feeders for two consecutive days must be reported to the Commission within 24 hours.
- Any Band A feeder underperforming for seven consecutive days will be automatically downgraded to the actual level of supply recorded.
“This isn’t just about lower tariffs; it’s about ensuring value for money and building consumer trust,” the Chairman noted.
A Win for Enugu and Nigeria’s New Electricity Era
The EERC insists that this decision is not only cost-reflective but also pro-consumer, balancing affordability with sustainability, and ensuring no state subsidy is required to maintain the revised rates.
The Commission reiterated its commitment to working with developers, investors, customers, and other stakeholders to drive access, improve service delivery, and solidify Enugu’s position as a front-runner in Nigeria’s subnational electricity regulation model.
“This is a win for everyone – consumers, industry players, and the vision of a reliable, affordable electricity supply for all citizens of Enugu State,” the statement concluded.
Effective Date: August 1, 2025
New Band A Tariff: ₦160/kWh
Bands B-E Tariff Status: Frozen
