
University campuses across Nigeria are feeling the sting of premium electricity charges that were supposed to guarantee 24‑hour power but often deliver far less. The surge in Band A tariffs has forced institutions like the University of Benin to shut down essential services after dark, sparking outrage among staff and students alike.
At University of Benin (UNIBEN) in Benin City, the health centre operates in near darkness after 10 p.m. when its backup generators are turned off, leaving medical personnel to rely on flashlights for critical procedures. Meanwhile, the Academic Staff Union of Universities (ASUU) secretariat runs entirely on diesel, a costly stopgap that underscores the grid’s unreliability.
Background: The Band A Tariff Regime
The Nigerian Electricity Regulatory Commission (NERC) introduced the Band A classification to reward customers who supposedly enjoy 20‑24 hours of electricity daily. In theory, these "premium" customers pay higher rates reflecting the presumed level of service. In practice, many universities classified under Band A receive intermittent supply while still shouldering the nation’s steepest bills.
According to the tariff schedule, Band A rates hover around N209 per kilowatt‑hour (kWh). For a university that consumes roughly 500,000 kWh a month, the bill can top N100 million, a sum that dwarfs most operating budgets.
University Struggles Under the Current Model
In an interview, Evelyn Gbiwen, Head of Branding and Corporate Communications at Benin Electricity Distribution Company (BEDC) blamed the hikes on NERC directives, adding that disconnection is inevitable for accounts that fall behind.
At the same time, the Minister of Power, Chief Bayo Adelabu, warned that distribution companies need an estimated N6 trillion in annual revenue to sustain a reliable grid—a massive jump from the current N1 trillion. Adelabu’s remarks came during a parliamentary briefing on July 30, 2025, where he emphasized the funding gap but offered little on immediate relief for educational institutions.
Economic Voices Call for Reform
Political economist Pat Utomi, Convener of the political coalition The Big Tent, took to the podium at a Lagos press conference on August 2, 2025, demanding that the federal government either re‑validate or scrap the Band A regime altogether. Utomi argued that the current model forces senior lecturers to allocate up to 75 % of their salaries to electricity, effectively impoverishing the middle class.
"The pricing logic is broken," Utomi said, "and it widens inequality without delivering the promised service." His critique resonated with university unions, who have lodged formal petitions with the Ministry of Education seeking tariff waivers.

Regional Relief: Enugu’s Tariff Cut
On a brighter note for consumers in the southeast, the Enugu Electricity Regulatory Commission (EERC) announced a reduction in Band A rates for its jurisdiction, effective August 1, 2025. Under Commission Order No. EERC/2025/003, MainPower Electricity Distribution Limited will charge N160 /kWh, a N49 drop from the previous N209 /kWh.
Chairperson Chijioke Okonkwo explained that the revision follows a comprehensive review of MainPower’s license application and reflects the “cost‑reflective” principle mandated by the Enugu State Electricity Law 2023. He added that the federal subsidies earmarked for power generation helped make the lower rate feasible.
Broader Implications for Nigeria’s Higher Education
The electricity crunch threatens more than budgets; it jeopardizes research output, student retention, and Nigeria’s long‑term development agenda. Without stable power, laboratories cannot run experiments, digital libraries remain inaccessible, and online lecture platforms falter.
Educational analysts warn that prolonged power shortages could push top‑performing students toward overseas institutions, draining the country of future innovators. A recent survey by the Nigeria Universities Commission indicated that 62 % of faculty members consider resigning if electricity costs continue to eat into their salaries.

What’s Next? Potential Policy Shifts
Calls for a review of the Band A tariff are gaining momentum in the National Assembly, where a bipartisan committee is slated to hold hearings in September. Lawmakers hope to craft an amendment that ties tariff categories more closely to actual supply quality.
Meanwhile, university administrators are exploring alternative energy solutions, from solar farms to mini‑hydro projects, to reduce reliance on the grid. UNIBEN recently announced a partnership with a renewable‑energy startup to pilot a 5‑MW solar plant on campus, aiming to cut its electricity bill by roughly 30 % within two years.
- Band A tariff: N209 /kWh (current), N160 /kWh (Enugu relief)
- Estimated DISCO revenue need: N6 trillion annually
- UNIBEN monthly power consumption: ~500,000 kWh
- Potential savings from solar pilot: ~30 %
Until a nationwide solution emerges, universities will continue to juggle academic missions with the practicalities of keeping lights on.
Frequently Asked Questions
How does the Band A tariff affect university staff salaries?
Because Band A rates are the highest in the country, many lecturers find up to three‑quarters of their monthly pay earmarked for electricity bills. This reduces disposable income, limits professional development opportunities, and fuels dissatisfaction that could lead to staff turnover.
What triggered the tariff cut in Enugu state?
The Enugu Electricity Regulatory Commission reviewed MainPower’s licensing and cost structures, concluding that the previous Band A price over‑compensated the utility. The reduction to N160 /kWh aligns tariffs with actual generation subsidies and state‑level regulations.
Will the federal government amend the Band A policy?
Parliament is expected to hold hearings in September, and several lawmakers have pledged to introduce amendments that tie tariff categories to verified supply continuity. However, a final decision may take months, as it requires coordination with NERC and the Ministry of Power.
What alternative energy options are Nigerian universities exploring?
Institutions like UNIBEN are piloting solar farms, while others are negotiating mini‑hydro contracts or installing backup battery storage. These projects aim to cut dependence on the national grid and could lower electricity expenses by 20‑40 % over the next few years.
How might the electricity crisis impact Nigeria’s development goals?
Reliable power is a cornerstone for research, innovation, and skilled‑worker productivity. Persistent shortages risk stalling the country’s targets for economic diversification, technology adoption, and global competitiveness, especially if higher‑education outputs decline.
Liz Lessner
October 6 2025
I totally get why staff are furious; these bills are absolet, and the university can’t keep up. It’s like paying N100 million for a flashlight.