The fallout from Nigeria’s Electricity Act continues, as states like Enugu, Ondo, Lagos, and Plateau move to slash electricity tariffs , with Enugu leading the way by cutting Band A rates from ₦209 to ₦160 per kilowatt-hour.
But power generation companies are pushing back, warning that the cut threatens the fragile power sector and deepens the over ₦5 trillion debt already owed them.
The Enugu Electricity Regulatory Commission defended its decision, citing federal generation subsidies and a transparent tariff model. However, critics argue the state may be relying on a subsidy that doesn’t exist.
More states are expected to announce their own tariff revisions, despite warnings that without cost recovery, investors may flee.
