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Lerc Slashes Power Rates for Households, SMEs

Dec 16, 2025 (Liberian Observer/All Africa Global Media via COMTEX) --

In a major relief for households and small businesses across Liberia, the Liberia Electricity Regulatory Commission (LERC) has announced reduced electricity tariffs and fixed charges under a new three-year cost-reflective tariff regime for the Liberia Electricity Corporation (LEC).

The new tariffs, released on Friday, December 12, 2025, will take effect on January 1, 2026, and remain in force through December 31, 2028. This marks the second time the commission has issued cost-reflective tariffs for LEC, a move regulator say balances consumer affordability with the financial sustainability of the national power utility.

According to LERC, the revised tariff structure is intended to reduce the financial burden on electricity consumers while ensuring that LEC can recover prudently incurred costs in the provision of electricity services. The commission said the adjustments were informed by an extensive technical review of LEC's tariff proposal, in line with international regulatory best practices.

Social customers consuming 25 kilowatt-hours or less per month will benefit significantly under the new regime, with tariffs reduced from US$0.15 to US$0.13 per kilowatt-hour, representing a 13.3 percent decrease. These customers will continue to pay no fixed monthly charge.

Residential customers will also see notable reductions. Prepaid residential consumers will now pay US$0.22 per kilowatt-hour, down from US$0.24, while their fixed monthly charge has been reduced from US$2.48 to US$2.00. Postpaid residential customers will pay the same reduced energy rate of US$0.22 per kilowatt-hour, with fixed charges declining from US$4.47 to US$3.79.

For non-residential and commercial customers, energy tariffs remain unchanged at US$0.22 per kilowatt-hour. However, LERC approved reductions in fixed monthly charges to ease operating costs for businesses. Prepaid non-residential customers will now pay a fixed charge of US$8.48 per month, down from US$10, while postpaid commercial customers will see their fixed charge reduced from US$12 to US$10.17.

Medium-voltage customers supplied at 22kV and 33kV will experience a slight increase in energy tariffs from US$0.19 to US$0.20 per kilowatt-hour. Despite the increase, their fixed monthly charges have been reduced from US$50 to US$42.40, reflecting a 15.2 percent decrease.

LERC explained that the tariff adjustments followed rigorous scrutiny by its tariff review technical team to ensure fairness, transparency, and cost efficiency. The head of the technical team praised the review process, saying the approved rates strike a balance between consumer protection and the financial viability of LEC.

"I am incredibly proud of my team for the thorough vetting of LEC's tariff proposal, ensuring that the approved rates enable the company to recover prudently incurred costs while reducing the burden on consumers," the official said.

The commission also approved adjustments to electricity connection charges. Single-phase connection fees were increased from US$22 to US$70, reflecting the actual cost of materials and installation. LERC clarified, however, that customers will not bear these costs where connections are financed by donors, the Government of Liberia, or third-party programs. Three-phase connection charges were slightly reduced from US$350 to US$340.

LERC said the new 2026-2028 tariff framework is designed to provide predictability for consumers, investors, and service providers while strengthening electricity service delivery nationwide. The commission emphasized that the adjustments form part of broader reforms aimed at improving access to electricity, sustaining infrastructure investment, and supporting economic growth.

"The approved rates reduce the burden on consumers while guaranteeing LEC's financial viability," LERC said, reaffirming its commitment to fairness, transparency, and long-term stability in Liberia's electricity sector.

comtex tracking

COMTEX_471158341/2029/2025-12-16T07:35:12

by David a. Yates

Copyright 2025 Liberian Observer. All rights reserved. Distributed by AllAfrica Global Media (allAfrica.com).

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