Electricity Distribution Companies (DisCos) across Nigeria have raised concerns over growing pressure to reduce tariffs, following a recent slash in electricity rates for Band A customers in Enugu State.

The Association of Nigerian Electricity Distributors (ANED), speaking through its CEO, Sunday Oduntan, said the move by the Enugu State Electricity Regulatory Commission (EERC) has triggered calls for similar tariff cuts in other parts of the country. According to him, this has led to increased demands from customers and threats by some to stop paying bills unless prices are reduced.

Oduntan criticized the decision in Enugu, saying it was made without proper coordination with the Nigerian Electricity Regulatory Commission (NERC) and other key players in the electricity market. He warned that such uncoordinated actions could destabilize the power sector and worsen its financial challenges.

While DisCos say they support lower electricity rates in principle, they emphasized that current tariffs are based on economic realities. Oduntan noted that any subsidy used to reduce tariffs must be properly structured and fully funded by the government to avoid damaging the already fragile system.

He pointed out that delays in paying electricity subsidies have created serious cash flow problems, leaving power generation companies and gas suppliers struggling. The sector, he said, is still dealing with nearly ₦5 trillion in unpaid debts.

Oduntan echoed the position of the Minister of Power, Bayo Adelabu, who recently stated that any state choosing to lower power tariffs must also be ready to bear the financial burden of doing so through subsidies.