List of Areas To Benefit As State Govt Slashes Band A Tariff

List of Areas To Benefit As State Govt Slashes Band A Tariff

  • Residents in Enugu under Band A are now expected to pay less for the electricity tariff from next month
  • The electricity company said the new tariff is based on a cost-reflective review, supported by federal government subsidies
  • Band A customers across Nigeria enjoy 20-24 hours of power supply on their feeders, and the tarrif is higher

Legit.ng journalist Dave Ibemere has over a decade of experience in business journalism, with in-depth knowledge of the Nigerian economy, stocks, and general market trends.

The Enugu Electricity Regulatory Commission (EERC) has announced a reduction in electricity tariffs for Band A customers in the state, effective from August 1, 2025.

According to a notice to MainPower Electricity Distribution Limited, the utility that succeeded Enugu Electricity Distribution Company (EEDC), Enugu residents under Band A will now pay N160 per kilowatt-hour (kWh).

Enugu state new tariff for Band A customers
Enugu state announces new tarrif for Band A users Photo credit: Nurphoto
Source: Getty Images

The new tarrif represents a N49 from the previous rate of N2090/kWh.

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This decision was contained in the Commission’s Order No. EERC/2025/003, entitled “Tariff Order for MainPower Electricity Distribution Limited 2025,” and was issued over the weekend.

New tarrif plan for Enugu residents

Chairman of the EERC, Chijioke Okonkwo, said that the revision follows a comprehensive review of MainPower Electricity Distribution Limited's tariff and licensing applications as the successor to the Enugu Electricity Distribution Company (EEDC).

This review utilised the Commission's Tariff Methodology Regulations 2024 and Distribution Tariff Model to establish a fair average tariff of N94 per kWh.

He said:

"We reviewed their entire costs, using our Tariff Methodology Regulations 2024, and the supporting Distribution Tariff Model to get an average price of N94.
“The price is low because the Federal Government has been subsidising electricity generation cost ,which charges only N45 out of the actual cost of N112. That was how we came about the average tariff of N94 as cost cost-reflective tariff at our level as a subnational electricity market.

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“Breaking this across the various tariff bands means that Band A will be paying N160 while other Bands B, C, D, and E are frozen.
“Band A, at N160 will help MainPower to manage the rate shock, and if the subsidy is removed, the savings will assist them in stabilising the tariff over a defined period of time. Nevertheless, at all times, the tariff will be cost reflective and will not require any state subsidy."

The Commission said that the tariff adjustment is in line with its commitment to ensure cost-reflective pricing and compliance with state legislation governing electricity regulation.

Some of the areas under Band A in Enugu

According to data published by the Nigerian Electricity Regulatory Commission (NERC), here are the areas to benefit from the Band A tarrif reduction.

  • New Government House, Ochudo
  • Azuiyiokwu, New Govt House
  • Amowelle, Amokpo, Ezeama
  • Agbani, Awgu LGA
  • Atani Road, Creek Road, Fegge
  • Ifite, UNIZIK, Awka Industrial
  • UNIZIK, Roban, CBN, Govt House
  • Anambra Secretariat, ABS
  • Emenite, Alo Aluminium
  • Independence Layout
  • Shoprite, Golden Royal
  • Psychiatric Hospital
  • Abakpa, GRA, Emene
  • Trans Ekulu
  • Kingsway Road, Okpara Avenue
  • Amechi Village, Obeagu Town
  • Golf Estate, G.R.A
  • G.R.A, CBN Quarters
  • Zoo Estate, Abakaliki Road
  • Housing Estate, Timber Shed
  • Geogold Hotel, Juhel Industries
  • Bridge Head Industrial Area
  • Industrial Layout Irete
  • Ikeduru Hospital, Alex Aluminium
  • World Bank, Irete, P/H Road
  • World Bank, P/H Road
  • Ugwuogo, Okpeke Nike
  • Nsukka Road, Ama Breweries
  • Coca Cola Industries

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World Bank loan for power amid soaring debt

Earlier, Legit.ng reported that the Federal Government has secured a $500 million loan from the World Bank to support reforms in Nigeria’s electricity distribution sector, the Bureau of Public Enterprises (BPE) announced.

The loan is expected to fund improvements in metering, data systems, and technical efficiency of power distribution companies (Discos).

According to BPE, the loan will address “identified gaps” in the operations of the 11 Discos across Nigeria.

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Source: Legit.ng

Authors:
Dave Ibemere avatar

Dave Ibemere (Senior Business Editor) Dave Ibemere is a senior business editor at Legit.ng. He is a financial journalist with over a decade of experience in print and online media. He also holds a Master's degree from the University of Lagos. He is a member of the African Academy for Open-Source Investigation (AAOSI), the Nigerian Institute of Public Relations and other media think tank groups. He previously worked with The Guardian, BusinessDay, and headed the business desk at Ripples Nigeria. Email: dave.ibemere@corp.legit.ng.

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