Enugu Cuts Power Tariff for Premium Users

Electricity consumers in Enugu State under Band A will soon pay less for power as the Enugu State Electricity Regulatory Commission (EERC) has reduced the approved tariff from N209 to N160 per kilowatt-hour.

The new rate will take effect from August 1 and applies to MainPower Electricity Distribution Limited, the company now handling power supply in the state after replacing Enugu Electricity Distribution Company (EEDC).

This move comes under the Enugu State Electricity Law of 2023, which empowers the state government to take full control of its electricity market. Governor Peter Mbah signed the law following the 2023 constitutional amendment that gave states authority over electricity matters within their boundaries.

EERC said the new tariff reflects a fair cost of power while also factoring in subsidies from the federal government. According to the commission, the Band A customers are receiving the new rate based on a reviewed average cost of N94, which includes the effect of the federal subsidy on generation costs. Without the subsidy, consumers would have been charged more, as the true cost of electricity stands around N112 per kilowatt-hour.

Chijioke Okonkwo, chairman of EERC, explained that the N160 tariff helps balance affordability with the financial needs of MainPower, especially as the company grows into its new role in the state. He said the commission’s review followed MainPower’s tariff and licensing applications, and was guided by its 2024 tariff regulations and models.

He also clarified that while Band A will now pay the reduced N160, rates for other customer categories—Bands B, C, D, and E—will remain unchanged for now. However, any future power purchases made outside the current subsidy framework may lead to adjustments, especially if the federal government stops supporting the market.

The regulator has also put strict service monitoring in place. MainPower is required to publish the average daily hours of power supply for each Band A feeder, and must report service failures lasting more than two days. If any Band A feeder fails to deliver consistent service for a full week, it will be automatically reclassified to a lower band.

EERC said the overall goal is to ensure fair pricing, reliable power delivery, and improved services for all Enugu residents. The commission is also working with investors and stakeholders to expand electricity access and make the system more efficient.

For now, the tariff slash is seen as a win for residents in the premium category, with the state’s regulator assuring that all pricing decisions will remain transparent, fair, and based on actual costs—without needing financial support from the government.