The Enugu State Electricity Regulatory Commission (EERC) issued a new tariff to Mainpower Electricity Distribution Limited, reducing the cost of Electricity for Band A users from N209/ kWh (per kilowatt-hour) to N160 kWh, effective from August 1, 2025.
The directive reflected in the Commission’s Order No. EERC/2025/003 entitled “Tariff Order for MainPower Electricity Distribution Limited 2025, was issued over the weekend. The Commission explained that the directive was cost-reflective and aligned with the power generation subsidy by the Federal government.
The Enugu State Electricity Law 2023, signed by Governor Peter Mbah in September 2023, informed the actions of EERC. The law empowers and mandates the EERC to regulate the activities of operators in the state’s power generation, distribution, and transmission.
Chijioke Okonkwo, EERC Chairman, explained the development, stating that the decision to reduce electricity costs stems from the Commission’s review of MainPower’s tariff and licence applications as the new subsidiary company (SubCo) in Enugu State.
“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 a cost-reflective tariff at our level as a subnational electricity market.
“Breaking this across the various tariff bands means that Band A will pay 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,” Okonkwo stated.
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The Chairman, however, pointed out that the new N160 cost of Electricity will be challenging to maintain should the federal government pull its electricity generation tariff subsidy. Okonkwo also stated that the EERC has implemented some monitoring and evaluation systems and guidelines to ensure that the people of Enugu do not pay more or less for Electricity.
“MainPower is obliged to publish daily on its website a rolling seven-day average daily hours of supply on each Bank A feeder no later than 9 am the next day.
“Where MainPower fails to deliver on the committed level of service on Band A feeder for two consecutive days, MainPower shall report this to the Commission within 24 hours.
“Where MainPower fails to meet the committed service level to a Band A feeder for seven consecutive days, the feeder shall be automatically downgraded to the recorded supply level. The Chairman added.
Okonkwo stated that the Commission is committed to working with industry developers, investors, customers, and Stakeholders to develop and implement strategies and solutions. This provides access to and improves electricity services for all the state’s citizens, a win for the Enugu establishment.
The EERC regulates power generation, transmission, and distribution in Enugu. The Commission works hand in hand with the EEDC to ensure accurate dispensation and costing of Electricity in Enugu State.
