By Jude Ossai, Enugu
Mainpower Electricity Distribution Company has filed a formal petition before the Enugu Electricity Regulatory Commission (EERC), seeking the immediate suspension of the commission’s recent tariff reduction order.
The petition, dated August 14, 2025, follows the EERC’s decision to slash electricity tariffs for Band A customers from N209/kWh to N160.40/kWh, while freezing tariffs for Bands B and C. The order, which took effect on August 1, 2025, has been strongly criticized by the National Electricity Regulatory Commission (NERC), power generation companies (Gencos), other distribution companies (Discos), and the Federal Ministry of Power, all of whom described it as unsustainable.
In its petition, signed by Dr. Ernest Mupwaya, Managing Director/CEO of Mainpower, the company argued that the tariff order was not reached through due process as stipulated by the EERC’s own regulations. Mainpower maintained that despite several engagement meetings in July, no agreement was reached on key cost parameters before the EERC unilaterally published the tariff order on July 18, 2025.
The company warned that implementing the tariff could have severe financial, operational, and strategic consequences, including:
- A projected revenue shortfall of N6.98 billion between August and December 2025.
- Reduced compliance with remittance obligations to the Nigerian Bulk Electricity Trading Plc (NBET) and the Market Operator.
- Risk of disconnection from supply if obligations are unmet.
- Threats to its planned N33.2 billion capital expenditure programme, including the installation of 350,000 smart meters.
- Increased outages, customer dissatisfaction, and potential industrial unrest.
Mainpower therefore prayed the Commission to suspend the implementation of the tariff order pending determination of its petition, and to review the tariff to approve either N206.80/kWh or N194.54/kWh as more sustainable alternatives.
The EERC is the sole respondent in the petition, which was filed pursuant to Section 36 of the 1999 Constitution (as amended), and relevant provisions of the commission’s regulations on tariff methodology and business rules.
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