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The Energy Regulation Board (ERB) has approved a new electricity tariff schedule for ZESCO Limited, marking the end of the emergency tariff structure that was introduced to mitigate the effects of the national power deficit.
The revised tariffs, effective November 1, 2025, will replace the emergency rates that expired on October 31, and will reintroduce the Multi-Year Tariff Framework (MYTF) initially approved for the period 2025 to 2027.
Announcing the decision, ERB Board Chairperson, James Banda, said the review was undertaken to ensure sustainability in the energy sector while protecting low-income consumers and supporting essential public services.
“The Board has accepted ZESCO’s proposal to end the emergency tariffs and revert to a four-tier residential structure under the MYTF,” Banda said.
According to the approved structure, residential customers will benefit from a 46 percent reduction in the highest tariff rate, which drops from K6.39 per kilowatt-hour (kWh) to K3.45/kWh.
The cost of the first 200 units per month for residential consumers will remain unchanged to safeguard lifeline customers.
However, ERB rejected ZESCO’s proposal to introduce a new Standard Residential Tariff for customers not qualifying for the lifeline category.
The regulator stated that the proposed geographical-based mechanism did not ensure fairness or equality and has directed ZESCO to conduct further studies to develop a more practical and equitable approach.
Under the approved framework, tariffs for commercial, social services, and water pumping customers will remain unchanged.
The cost of W4 water pumping has been reduced from K1.72/kWh to K1.50/kWh, a measure aimed at supporting the supply of clean and safe water.
Additionally, fixed charges for distribution and maximum demand customers have been removed, and a simplified, energy-only tariff structure has been introduced.
Banda noted that while the new tariffs aim to protect consumers, the revenue structure has been designed to ensure that ZESCO’s financial requirements are not compromised.
“The approved revenue structure maintains ZESCO’s ability to meet operational and maintenance obligations while providing affordable electricity to consumers,” he said.
The new tariffs will remain in effect until October 31, 2026.
ZESCO has been directed to submit a True-Up Report to the ERB before any subsequent tariff adjustments are considered.
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