Tariff Design

Tariff design involves the strategic structuring of prices and fees for the use of public utilities or services, such as electricity and water. It aims to balance the financial sustainability of the service provider with the affordability and equitable access for consumers. Tariffs are essential in regulating the consumption of public services, ensuring cost recovery for providers, and promoting efficient resource allocation.

Effective tariff design is crucial in maintaining the financial viability of public utility services, fostering consumer satisfaction, and promoting sustainable resource management. It requires a balance between the economic viability of service providers and the fair distribution of costs among consumers, while also incentivizing responsible usage behavior and promoting affordability for all consumer groups.

Tariff Design Services

Cost of Service and Tariffs

EMRC conducts comprehensive cost of service studies to evaluate the cost components associated with the provision of energy services. Through meticulous cost analyses, rate design exercises, and pricing strategy development, we help stakeholders develop cost-effective rate structures that reflect the true cost of service provision, promote efficient resource allocation, and drive revenue optimisation within the energy sector.

Tariff Structure Analysis and Optimization

We provide thorough evaluations of tariff structures in order to evaluate the effectiveness of current pricing schemes. We offer strategic recommendations on tariff optimisation through thorough tariff assessments, cost-benefit analyses, and market evaluations. This helps stakeholders create transparent and equitable pricing structures that strike a balance between cost recovery and consumer affordability and support the energy sector's long-term financial sustainability.

Stakeholder Engagement and Tariff Training Programs

We carry-out consumer engagement and tariff education programs that create consumer awareness, promote tariff understanding, and drive consumer participation in energy decision-making processes. We also empower consumers to make informed decisions about energy consumption and tariff management, Through the development of consumer education materials, interactive workshops, webinars and other digital communication initiatives.

Tariff Policy Formulation and Regulatory Compliance

We offer advice on developing tariff policies and taking steps to comply with regulations. By means of thorough policy evaluations, regulatory gap analyses, and compliance monitoring systems, we enable the establishment of resilient tariff policies that conform to regulatory mandates, foster market competitiveness, and guarantee consumer safeguards in the ever-changing energy environment.

Highlighted Projects

IHS Towers

Evaluated the financial savings that could be made from transitioning base stations from diesel powered generators to on-grid and solar energy supply.

GIZ

Advisory for the development of two hybrid solar and conventional generation projects with an aggregate capacity of 235MW ($138.5million).

Shell Foundation + Konexa

Advisory on the development and integration of decentralized energy technologies within an islanded distribution network in northern Nigeria.

Africa 50

Advisors on $214million “Project Green” which aims to reduce diesel use and carbon emissions (50% by 2030) with renewables’ integration across Nigeria's cell sites portfolio.