ENUGU, Nigeria – Mainpower Electricity Distribution Limited (MEDL) has attributed the ongoing power outages in parts of Enugu State to a sharp reduction in energy allocation from its parent supplier, the Enugu Electricity Distribution Company PLC (EEDC), following a recent downward review in electricity tariffs by regulatory authorities.
According to a statement released by MEDL management, the electricity supply shortfall – which has disrupted service to several communities for four consecutive days – stems from a newly issued Tariff Order by the Enugu Electricity Regulatory Commission (EERC). The directive slashed the tariff for Band A customers from ₦209.50 per kilowatt-hour (kWh) to ₦160.40/kWh, significantly impacting revenue expectations.
“Upon receipt of the Tariff Order, MEDL, by obligation, promptly updated EEDC,” the company said. “After analyzing the implications of the new tariff, EEDC concluded that implementing it would result in a monthly loss of over ₦1 billion, which makes it impossible for EEDC to meet her obligations to the Market.”
In response, EEDC reportedly decided to cut down the volume of energy supplied to MEDL by about 50 percent, a move MEDL says has “significantly affected our ability to serve some of our esteemed customers.”
Clarifying its role in the electricity value chain, MEDL explained that it does not receive power directly from the national grid. “We rely solely on EEDC, which holds the vesting contract agreement with the Nigerian Bulk Electricity Trading (NBET), the organization responsible for electricity bulk trading,” the statement read.
The company acknowledged that its explanation to the public came later than ideal. “We also acknowledge that this communication is coming later than expected. The delay was due to the short notice with which we received the full details of the development.”
MEDL assured affected customers that it is actively engaging stakeholders at various levels – including EEDC, EERC, the Nigerian Electricity Regulatory Commission (NERC), the Nigerian System Operator (NISO), and NBET – to find a solution. “We are hopeful that a resolution will be reached within the next 48 hours or soon thereafter.”
While appealing for calm and understanding from the public, the company reiterated its commitment to transparency and prompt service restoration. “We deeply regret the inconvenience this situation has caused our valued customers,” the management stated.
This development underscores the fragile balance within Nigeria’s electricity market and how regulatory changes can reverberate across the distribution network, directly impacting consumers already grappling with power supply challenges. GMTNewsng
