LERC Upholds Electricity Tariff Reduction in Nimba and Bong Counties

The Liberia Electricity Regulatory Commission (LERC) has upheld a tariff of US$0.22 per kWh for electricity in Nimba and Bong counties, reducing it by 12%. A new fixed charge of US$1.50 has been introduced, along with a reduced connection fee of US$40.00 for new customers, effective from March 20, 2025. The move aims to balance consumer needs and company cost recovery, with further reviews possible as per regulations.

The Liberia Electricity Regulatory Commission (LERC) has made a significant decision regarding electricity pricing in Liberia, maintaining the rate at US$0.22 per kilowatt-hour (kWh) within the Jungle Energy Power (JEP) distribution areas in Nimba and Bong counties. Announced by Atty. Kla-Edward Toomey II, the Acting Chairman, this represents a 12% reduction from the previous rate of US$0.25 per kWh, benefiting consumers while allowing JEP to recover costs.

In conjunction with the rate adjustment, the Commission has instituted a monthly fixed charge of US$1.50, which aims to bolster network reinforcement and improve service quality. This fixed charge will be monitored for transparency through an escrow account managed alongside LERC, and JEP will submit monthly reports regarding its collection.

The Commission has also lowered the connection charge for new customers to US$40.00, down from US$100.00, simplifying access to electricity for residents. This fee is designed to cover essential materials for new connections, including cables and energy meters.

The new tariff structure revokes earlier provisional tariffs set for Nimba County in 2021 and Bong County in 2023. The approved rates will be effective from March 20, 2025, to March 19, 2028, and adjustments may be made if requested by either the service provider or the regulator.

Responding to LERC’s decision, JEP’s CEO Tomah S. Floyd, Sr. indicated that the company is assessing the implications of the ruling and is open to discussions with stakeholders regarding future steps. Meanwhile, Seidiki Kromah, the Development Officer of Bong County, commended the tariff reduction, expressing hope that it would not hinder JEP’s service delivery.

Deputy Minister for Energy, Charles Umehai, emphasized the government’s commitment to ensuring a reliable and affordable electricity supply in Liberia, urging LERC to assist JEP in enhancing its revenue. He praised JEP’s efficiency, labeling it a successful example of a Liberian-owned electricity distribution business. It is noteworthy that LERC had previously approved a 12% tariff reduction for these counties, despite JEP filing a notice for reconsideration in January 2025.

The LERC’s decision to maintain and reduce electricity tariffs for Nimba and Bong counties serves the dual purpose of supporting consumer interests while allowing JEP to sustain its operations effectively. With reduced connection charges and the implementation of a fixed monthly fee, the initiative promises to improve service quality. The government’s prioritization of reliable energy supply highlights ongoing efforts towards an enhanced electricity sector, aiming to benefit the residents of these regions.

Original Source: frontpageafricaonline.com