Electricity prices increase by June: Electricity Ministry

CAIRO – 15 May 2017: The newly-increased electricity prices will be effective by the end of June, said an official at the Ministry of Electricity and Renewable Energy on Sunday.

The new charges will show in July consumption bills. The official added that all the proposals made by the ministry to restructure electricity subsidies take into account the less fortunate citizens who belong to the limited income category.

He pointed out that the ministry is considering exempting the less fortunate citizens whose consumption does not exceed 300 kilowatt/hours per month from the increase. However, those who consume more than 600 kilowatts will bear the bulk of the kilowatt/hour cost.

Avoiding the implementation of amended prices of electricity will result in an increase in the budget deficit to nearly 60 billion EGP, according to the ministry. It is expected that the price of kilowatt/hour will reach 97 piasters by June 30 due to rise in the dollar exchange rate and application of the value-added tax (VAT).

Prices of electricity in Egypt have witnessed major hikes over the past few years, last of which was in August 2016, when prices went up by an average of 40 percent across the country.