Electricity tariff in Nigeria today

Key takeaways

• Band A is ₦209.5/kWh — NERC's cost-reflective cap for customers guaranteed 20+ hours of supply a day.
• Five bands (A–E) are priced by guaranteed daily supply hours; only Band A is fully cost-reflective, while B–E stay partly subsidised.
• Grid beats the generator: Band A power is ~38% cheaper per kWh than diesel self-generation (~₦337/kWh on fuel alone).
• Reviewed regularly: Band A is adjusted by NERC for the exchange rate, inflation and gas costs; a further review is under discussion in 2026 but none has been approved.

NERC electricity tariff bands

Bands B–E receive fewer guaranteed hours and pay less per unit on partly-subsidised rates that vary by distribution company (DisCo), so no single national figure is quoted for them. Hours are the NERC service-based-tariff minimums.

Grid vs diesel generator, per kWh

At today's diesel price of ₦1,180/litre, a diesel generator costs roughly ₦337/kWh on fuel alone (assuming ~3.5 kWh per litre). That makes Band A grid power at ₦209.5/kWh about 38% cheaper per unit — and the gap is wider still once the generator's own purchase and maintenance are counted. A petrol generator is typically less fuel-efficient than diesel, so its per-kWh cost runs higher again at today's ₦905/litre petrol.

Illustrative fuel-only comparison using an openly-stated generator yield assumption — not a full cost-of-ownership figure. See the fuel price hub for the underlying petrol and diesel figures.