The Enugu Electricity Regulatory Commission (EERC) proposed a reduction in electricity tariffs for Band A customers, but the Association of Power Generation Companies (APGC) has turned down this proposal.
Joy Ogaji, the Chief Executive Officer of the Association of Power Generation Companies, stated that the tariff review is detrimental to the sector because the EERC conducted it with the expectation that the federal government would pay the reduced outstanding balance.
As a reminder, the EERC announced on Sunday that the Band A tariff in the state would be reduced from N209/kWh to N160/kWh, effective August 1, 2025, while tariffs for Bands B, C, D, and E would remain unchanged. The commission released a new tariff order for MainPower Electricity Distribution Limited, which lowered the electricity charges for Band A customers
Chijioke Okonkwo, the chairman of EERC, stated that it was essential to reduce tariffs after the commission reviewed MainPower’s applications for tariffs and licenses as the new subsidiary of the Enugu Electricity Distribution Company operating in Enugu State.
“Utilizing our Tariff Methodology Regulations 2024 and the accompanying Distribution Tariff Model, we assessed all of their costs to arrive at an average price of N94. The low price is due to the Federal Government’s subsidy on electricity generation costs, which charges only N45 instead of the actual cost of N112.
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