Egypt Hikes Power Prices But Delays End To Subsidies

Cairo this week announced hikes to electricity tariffs from the start of the 2019-20 financial year on 1 July. It is targeting the end of subsidies by June 2022.

Egypt’s Electricity Minister Muhammad Shaker on 21 May announced the latest wave of subsidy removal, due to be applied at the start of the next financial year on 1 July. This is almost 12 months on from last year’s announcement that prices for the average user would increase by 20-30% ( MEES, 27 July 2018 ).

The price hikes are highest for the lowest usage bands, where current subsidies are most heavily concentrated.

For household use of up to 50kWh, the price will rise from E£0.22/kWh ($0.013/kWh at the latest exchange rate of $1=E£17.02) to E£0.30/kWh ($0.18), a 36% increase. Between 51-100kWh the increase is 33% while up to 200kwH prices will rise 39%. For heavier users, the price increase is not as severe as they are already paying near-market prices. (CONTINUED - 635 WORDS)

DATA INSIDE THIS ARTICLE

table Egypt Electricity Tariffs (By Monthly Usage Band): Average User To Pay 32% More In 2019-20