Relief for Struggling Families: TPL Cuts Power Costs for Low-Usage Homes
By Tuʻifua Vailena | Nukuʻalofa, 30 June 2025
From tomorrow, thousands of Tongan households will pay less for electricity—a welcome reprieve for families already stretched by rising living costs.
Tonga Power Ltd (TPL) has announced that from 1 July 2025, a new concessional rate of 70 seniti per kilowatt-hour will apply to homes that consistently use 150 kWh or less per month. For eligible families, this will mean monthly savings of up to 30 percent. The relief is part of a three-year plan that will see the rate fall further to 65 seniti in 2026–27, and 60 seniti in 2027–28.
For many, this is more than just a price change. It’s the difference between topping up the power meter or buying an extra bag of rice. It means keeping the lights on for homework, or running a fan through the night without counting the cost.
In Maʻufanga, ‘Ana, a mother of three, welcomed the announcement with quiet relief. “Most months, we try to stay below 150,” she said. “We use one fridge, no hot water, and always switch things off. It’s not easy, but now it feels worth it.” Her family’s typical bill—around TOP 147—could now drop closer to TOP 100.
The concession follows weeks of public pressure and political debate over electricity prices. Some leaders called for a flat reduction for all consumers, but experts warned this would devastate TPL’s already narrow profit margin. Last year, the utility posted a modest TOP 1.85 million profit on more than TOP 65 million in energy sales—leaving little room to absorb across-the-board cuts.
Rather than risk financial instability, TPL chose a more targeted approach. In a public statement, the Board credited the Prime Minister and Minister for Public Enterprises with pushing them to deliver for those who need it most. “It drove us to rise above what we thought was possible,” the company said.
By focusing relief on low-usage homes—often pensioners, rural families, or households with modest energy needs—TPL is offering meaningful support without compromising the grid or halting investments in renewables.
To qualify, customers must keep usage below 150 kWh every month for the full three-year period. That may be challenging during holidays or hot weather, but for disciplined users like ‘Ana, it’s an achievable target.
This isn’t a blanket handout. It’s a recognition of the quiet, everyday choices many families already make—to unplug, to conserve, to stretch what little they have. For once, those efforts are being acknowledged not with promises, but with real, measurable savings.
