Nigeria recorded Africa’s lowest electricity tariff in 2025

Nigeria recorded the lowest average electricity tariff among 14 selected African countries in 2025, according to an annual report from the Nigerian Electricity Regulatory Commission (NERC). The average allowed end-user tariff in Nigeria was ₦124.30 per kilowatt-hour (kWh), or approximately $0.08/kWh. This figure represents 42.11% of the $0.19/kWh average recorded across the other surveyed markets.

In the comparison, South Africa recorded the highest average tariff at $0.27/kWh, followed by Sierra Leone ($0.25/kWh) and Mali ($0.23/kWh). Other nations included in the study were Burkina Faso, Kenya, Gabon, Togo, Ghana, Rwanda, Uganda, Namibia, Ivory Coast, and Mauritius.

The low tariffs come as the Nigerian government manages financial pressures within the electricity sector. In July 2025, the Federal Government ruled out immediate tariff increases while focusing on improving power generation and addressing sector debts. Previous measures include a ₦3.3 trillion payment plan approved by President Bola Tinubu in April 2025 to settle longstanding debts, and frameworks for a ₦4 trillion government-backed bond to clear arrears owed to gas suppliers and generation companies.