The Enugu State Electricity Regulatory Commission (EERC) has reduced the Band A electricity tariff from N209 to N160/kWh. This new tariff adjustment, effective August 1, 2025, directly affects MainPower Electricity Distribution Limited, which succeeded the former Enugu Electricity Distribution Company.
EERC disclosed the new pricing in Order No. EERC/2025/003, titled Tariff Order for MainPower Electricity Distribution Limited 2025. The commission emphasized that this decision aligns with a cost-reflective policy and reflects subsidies provided by the Federal Government for electricity generation.
MainPower, which now operates under Enugu’s jurisdiction, functions within a power market created after NERC granted Enugu State autonomy. EERC cited the Enugu State Electricity Law 2023, which empowers states to regulate their power markets independently.
Following the 2023 Constitutional Amendment and the Electricity Act 2023, Nigerian states gained legal authority to regulate electricity. This act repealed the EPSRA 2005 and introduced reforms, including separating distribution from supply functions within subnational grids.
Speaking to journalists, EERC Chairman Chijioke Okonkwo explained that the commission reviewed MainPower’s entire cost structure under the 2024 Tariff Methodology Regulations. Using its Distribution Tariff Model, EERC determined that a cost-reflective average tariff stood at N94/kWh.
However, Band A customers will now pay N160/kWh, while rates for Bands B to E remain unchanged temporarily. Okonkwo clarified that the Federal Government currently subsidizes generation at N45/kWh out of an actual cost of N112/kWh. Therefore, this Band A pricing helps manage rate shocks while preserving system stability.
Additionally, Okonkwo warned that if the Federal Government withdraws the subsidy, Band A rates could rise beyond N160. Nonetheless, he assured consumers that no state-level subsidy would be required, and the tariff would remain cost-reflective at all times.
“From August 1, 2025, Ndi Enugu in Band A will begin to enjoy the new reduced tariff,” Okonkwo affirmed.
To ensure compliance, EERC mandated daily monitoring and public disclosure of power supply levels by MainPower. The utility company must publish a rolling seven-day average of daily power supply per feeder by 9 am each day.
Should MainPower fail to meet its service level commitment on any Band A feeder for two days, it must notify EERC within 24 hours. If it fails for seven consecutive days, the feeder will automatically be downgraded to the actual recorded supply level.
These guidelines aim to protect Enugu consumers and guarantee they receive fair value for their power costs. The commission has also established systems for consistent performance evaluation and service regulation enforcement.