Electricity Tariff Increase to ₦350/kWh? Band A Is Still ₦209.50

Is electricity really going up to ₦350 per unit, and will a Band B meter be affected?

No, not now. When you see the ₦350 per kWh figure, you're looking at a forecast for 2029, not an order from NERC (the Nigerian Electricity Regulatory Commission). Band A still pays ₦209.50 per kWh before VAT.

No electricity tariff increase has been ordered. If you're on Band B, you stay on a subsidised rate, and your exact figure is the one printed on your last token receipt.

Who said electricity would hit ₦350/kWh, and why?

Dr Femi Eguaikhide made the forecast. He's deputy managing director of RT Briscoe and also chairs the Lagos Chamber of Commerce and Industry's Auto & Allied sector group. In his view, Band A could pass ₦350 per kWh by 2029.

Gas is the reason. Most Nigerian power stations burn it, and the generation companies (GenCos) that run them pay $2.18 per MMBtu, roughly half the open-market price or less. The Federal Government plans to end that cheap domestic price by 2028. Once GenCos pay full price, every unit of power costs more to make, and Band A feels it first because it's the only band on the full-cost formula.

He'd like the change phased in slowly, finishing in 2028. Nobody has adopted that plan.

How many units would ₦10,000 buy at ₦350/kWh?

You pay 7.5% VAT inside every token. Take that out first. Then divide what's left by the price per unit, and the answer is the number of units your meter loads.

Units per token at today's Band A rate and at the forecast rate (VAT removed, no fixed charge).

AidaPay token minimums and cashback, as at 22 October 2026:

You can buy your electricity token on AidaPay for your own meter or for a parent's meter in another state.

At the forecast price, the same money would buy you about 40% fewer units.

Has the government confirmed an electricity tariff increase?

No. Power Minister Joseph Tegbe ruled out a rise at a briefing in Abuja on 21 September. In mid-October he said it again in Ibadan, while flagging off new solar mini-grids, and his message hadn't changed: the government has no plan to raise tariffs.

The subsidy is a separate matter. The Federal Government wants subsidy payments to start winding down from 2027, but the minister has since said it won't simply end next year. Nobody has set a firm exit date.

NERC hasn't moved either. Its latest DisCo tariff orders are the supplementary orders of 2 September 2026, and it has opened no public consultation on new rates.

Why does the warning keep coming back? The ₦1.93trn subsidy bill

The government is meant to cover the gap between what Bands B to E pay and what their power really costs. Most of that bill hasn't been paid.

Only Band A customers pay a cost-reflective tariff, meaning a price that covers the full cost of getting power to your house. If you're on any other band, you get part of your light paid for.

The debt then rolls down a chain. DisCos collect less than they owe, so GenCos get paid short. GenCos can't pay their gas suppliers in full, and that growing pile of gas debt is exactly what keeps dragging the talk back to tariffs every few months.

What does each band pay per kWh today?

Your band depends on how many hours of light your feeder should get each day. Band A is ₦209.50 for most DisCos. Bands B to E differ a little between DisCos, so the table uses Abuja (AEDC) as the example.

Household (non-MD) rates per kWh before VAT, from AEDC's tariff order dated 2 September 2026.

Band A: ₦209.50 and at least 20 hours of supply

Dearer gas would hit this band first, because it's the only one on the full-cost formula. Even then, your meter won't change until NERC issues a new order.

Bands B to E: frozen, subsidised rates

Government policy keeps these rates at their December 2022 level, and moving them would take a separate policy decision, not just dearer gas. Want your exact rate? Look at your last token receipt, where it sits beside the units. If you'd like the bigger picture, read how Nigeria's electricity tariff bands work.

Does NERC still set the rate in Lagos?

No. Since June 2025, the Lagos State Electricity Regulatory Commission (LASERC) has regulated end-user tariffs for Eko and Ikeja customers in the state. Band A in Lagos is still ₦209.50 per kWh. LASERC is building its own Lagos tariff method, so any future change in Lagos would come from LASERC, not NERC.

You can test all of this with your own receipt. First check which band your feeder is on, then make sure the units on your receipt match the rate per kWh printed on it.

What should you do while nothing has changed?

1. Confirm your band with the feeder checker or your DisCo's customer care line.
2. On your next receipt, find the energy value, which is the amount after VAT.
3. Divide that value by the units on the receipt.
4. Compare the answer with your band's rate, and report any mismatch to your DisCo with the receipt in hand.

Don't empty your wallet into the meter because of a WhatsApp forward. Three things would come first: a NERC consultation notice or a new tariff order, a government decision on the gas price GenCos pay, and a published subsidy exit plan.

Start tonight. Pull out your last receipt and do the division in step three.

Frequently asked questions

Published 22 October 2026. Prices and codes change - if you spot one that has moved, tell us and we will fix it.