ERA Reduces Electricity End-User Tariffs for Q2 2025 to Boost Economic Growth
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On March 31, 2025, the Electricity Regulatory Authority (ERA) announced a 14% weighted reduction in Electricity End-User Tariffs for the Second Quarter of 2025 (April to June) across all consumer categories, except Street Lighting. This move is aimed at enhancing affordability, promoting industrial productivity, and stimulating economic growth.
The announcement follows the successful handover of electricity distribution and supply from UMEME Limited to the Uganda Electricity Distribution Company Limited (UEDCL), marking a significant transition in Uganda’s electricity supply industry.
The new tariff schedule for Q2 2025 shows reductions for Domestic Consumers (UGX 775.7 to UGX 756.2), Commercial Consumers (UGX 572.2 to UGX 546.4), Medium Industrial Consumers (UGX 417.8 to UGX 355.1), Large Industrial Consumers (UGX 351.5 to UGX 300.4), and Extra-Large Industrial Consumers (UGX 299.1 to UGX 203.6). The Street Lighting category remains unchanged at UGX 360.0.
The Lifeline Tariff for Domestic Customers consuming below 100 units monthly remains at UGX 250 for the first 15 units. The Fumba (Cooking) Tariff also remains unchanged at UGX 412.0 per unit for the 70 units purchased from the 81st to 150th units in a month.
According to ERA’s Chief Executive Officer, the decline aligns with the Authority’s policy to provide electricity at reduced prices. “This move is a direct outcome of power generation efficiency improvements, enhanced transmission grids, and our commitment to ensuring affordable electricity for all Ugandans,” She said.
The reduction is driven by changes in macro-economic factors such as International Fuel Prices, Exchange Rates, Core Consumer Price Index (Inflation), Energy Generation Mix, and Costs approved by ERA.
The new tariffs apply to all electricity consumer bills raised by UEDCL, based on meter readings and prepaid purchases from April to June 2025.
ERA remains committed to promoting efficient power consumption and encourages consumers to adopt power-saving practices to maximize the benefits of the reduced tariff.