Outrage Grows Over Band A Electricity Billing
Nigerians are paying significantly higher electricity tariffs under the Band A classification framework but receiving far less than promised, as fresh data and consumer accounts from across the country expose a deepening crisis of service delivery, regulatory failure, and growing public frustration.
Two years after the Nigerian Electricity Regulatory Commission (NERC) decoupled Band A feeders from the electricity subsidy scheme and raised tariffs from approximately N68 per kilowatt-hour to over N200 per kilowatt-hour, an additional N2 trillion has flowed into the electricity sector through higher consumer payments, with another N501 billion raised from the capital market this year, according to NERC figures. Yet power supply remains critically stagnant.
Data obtained from the Nigerian Independent System Operator (NISO) shows that average electricity generation currently hovers around 4,200 megawatts, while the 11 distribution companies (DisCos) allocate approximately 3,618MW across the country. Yola DisCo recorded the lowest allocation at just 50MW, while Abuja DisCo led with 634MW, exposing severe regional supply disparities nationwide.
On the ground, consumers tell a story far removed from official assurances. Band A feeders were promised a guaranteed minimum of 20 hours of electricity daily in exchange for premium billing. Residents in Osogbo and Ede told The Guardian that the 20-hour promise exists “only on paper.” One Osogbo resident, Adeyemi Aderemi, said supply in his area regularly drops to 10 to 12 hours despite continued premium billing.
The Lagos State Electricity Regulatory Commission (LASERC), in its 2025 electricity market report, confirmed the scale of service failures in the country’s commercial capital. Excel Distribution Limited achieved only 33.8 percent compliance with Band A supply thresholds, while IE Energy Lagos recorded just 20 percent compliance. The Commission described the situation as “a serious consumer protection issue requiring urgent action.”
In Abuja’s Sun City Estate, residents reported receiving as little as four to six hours of electricity daily despite premium tariff charges, with some spending up to N70,000 weekly on generator fuel. In Port Harcourt, a school operator reported electricity bills rising from N300,000 to N1.6 million following migration to Band A.
National Coordinator of the All Electricity Consumers Protection Forum, Adeola Samuel-Ilori, told The Guardian that the Band A framework “was intentionally designed to help the DisCos recover money that was never invested in the sector,” adding that six years into the service-based tariff regime, Nigerians have witnessed “a worsening exploitation of consumers’ hard-earned income.”
The Association of Nigerian Electricity Distributors (ANED) Executive Director Sunday Oduntan attributed underperformance to gas shortages and generation constraints, telling The Guardian that DisCos can only distribute what is allocated through the generation chain.
Meanwhile, Lagos State is pushing ahead with plans for a fully commercial electricity model. State Commissioner Biodun Ogunleye confirmed that Lagos operates without subsidies and is deploying independent technology to monitor feeder performance, though a fresh tariff increase may follow.
Energy economist Prof. Adeola Adinikinju of the University of Ibadan warned that Nigeria “must explore alternative pathways,” given huge borrowings with limited results visible to ordinary citizens.