In the fourth quarter of 2025, several African nations stood out for having some of the lowest electricity tariffs on the continent, offering relief to households and businesses alike.
According to data from Global Petrol Prices compiled by Nairametrics, low costs in these markets are largely driven by government subsidies, access to low-cost energy sources such as hydropower and natural gas, and regulated pricing systems.
Continental Leaders in Affordable Power
1. Ethiopia – Maintains the lowest electricity prices in Africa for both residential and business consumers, underpinned by vast hydropower capacity.
2. Sudan – A close second, benefitting from state-controlled energy and access to local fuel and hydro resources.
3. Angola – Continues to offer low tariffs especially for commercial users due to abundant natural resources.
4. Zambia – Hydropower-driven electricity keeps costs among the most competitive continent-wide.
5. Egypt – Thanks to domestic energy production and subsidised pricing, electricity remains affordable relative to many peers.
6. Nigeria – Regulated tariffs and subsidised grids keep costs comparatively low despite ongoing sector challenges.
7. Algeria – Natural gas and policy frameworks support modest electricity pricing.
8. Democratic Republic of the Congo – Large hydropower potential contributes to lower rates.
9. Tunisia – Competitive pricing amid diversified energy sources.
10. Cameroon – Rounds out the list with relatively inexpensive residential tariffs.
Why These Countries Are Cheap
The most affordable electricity markets across Africa in Q4 2025 share common traits:
- Hydropower dominance (e.g., Ethiopia, Zambia).
- Government subsidies or regulated tariffs that keep retail prices low.
- Abundant domestic fuel resources (natural gas and oil) in countries like Algeria and Egypt.
- Policy frameworks aimed at industrial and household affordability.
However, experts caution that low prices do not always translate to reliability or access—many of these markets still face supply limitations, infrastructure bottlenecks, and frequent outages.
Source: Nairametrics
