NERC Approves Electricity Tariff Hike to N225/kWh from N68/kWh, Effective April 1, 2024

The Nigerian Electricity Regulatory Commission (NERC) has announced a significant increase in electricity tariff for urban consumers, also known as Band A consumers. The new tariff, set at N225 ($0.15) per kilowatt-hour, represents a 300% hike from the previous rate of N68. This adjustment, approved by NERC, will take effect from April 1, 2024.

Vice Chairman of NERC, Musiliu Oseni, clarified that the rate increase will only impact 15% of electricity customers in the country. These customers, classified under Band A, consume 40% of the nation’s electricity. The Service-Based Tariff (SBT) scheme, introduced on November 1, 2020, categorizes consumers into Bands A to E based on the number of hours of electricity supply per day:

– Band A: Minimum of 20 Hours
– Band B: Minimum of 16 Hours
– Band C: Minimum of 12 Hours
– Band D: Minimum of 8 Hours
– Band E: Minimum of 4 Hours

NERC assures consumers that it will provide more details on the current electricity tariff hike as they become available.