Electricity tarrifs up
May 08, 2006
Electricity prices have been hiked by 37% across the board with the exception of heavy industries whose prices went up by 58%. The prices take effect on June 1.
By Anne Mugisa and Ibrahim Kasita
Electricity prices have been hiked by 37% across the board with the exception of heavy industries whose prices went up by 58%. The prices take effect on June 1.
The Electricity Regulatory Authority (ERA), which regulates the energy sector, announced yesterday that domestic consumption will be at an average sh298.2 per unit from sh216.9.
The ERA chief executive officer, Frank Sebbowa (right), said commercial consumption will on average cost sh286.8 per unit from 208.3. Medium industries will have to pay sh261.5 per unit from 182.8. Large industries will pay sh120.8 per unit from sh73.6, while street lighting will be at sh282.8 instead of sh205.3.
The tariffs have been divided into peak, shoulder and off peak hours with variations in the prices except for domestic consumption and street lighting which remain constant.
Commercial consumers will pay sh327.6 per unit during peak hours, sh287 at shoulder hours and sh223.9 a unit during off peak hours making an average of sh286.8. Medium industries will pay sh300.9 per unit during peak hours, sh261.8 in shoulder hours and sh201.9 in off- peak hours, an average of sh261.5.
Large industries will pay sh148.3 at peak hours, sh123.6 during shoulder hours and sh91.2 in off-peak hours, coming to an average of sh120.8.
Ssebowa said the Government would continue subsidising consumers, but give the bulk of reliefs to heavy industries, which will mitigate the higher tariff increment.
He said over the next 12 months, the Government will release sh70b to subsidise power costs and get an additional US$50m from the World Bank to further subsidise consumers over the same period.
He said the domestic consumption subsidy will be sh40.9 per unit, commercial consumption subsidy at sh26.5 a unit, medium industries at sh40.1, large industries sh67.6, while street lighting will get a sh39.9 subsidy a unit.
Sebbowa said the increment was prompted by the high cost of thermal electricity generation and was decided on on May 4 after UEDCL, which distributes the power, applied for theincreament.
He the Government would continue to waive import tax on diesel for thermal generation as it plans to construct Bujagali and Karuma hydro-power stations.
Electricity prices have been hiked by 37% across the board with the exception of heavy industries whose prices went up by 58%. The prices take effect on June 1.
The Electricity Regulatory Authority (ERA), which regulates the energy sector, announced yesterday that domestic consumption will be at an average sh298.2 per unit from sh216.9.
The ERA chief executive officer, Frank Sebbowa (right), said commercial consumption will on average cost sh286.8 per unit from 208.3. Medium industries will have to pay sh261.5 per unit from 182.8. Large industries will pay sh120.8 per unit from sh73.6, while street lighting will be at sh282.8 instead of sh205.3.
The tariffs have been divided into peak, shoulder and off peak hours with variations in the prices except for domestic consumption and street lighting which remain constant.
Commercial consumers will pay sh327.6 per unit during peak hours, sh287 at shoulder hours and sh223.9 a unit during off peak hours making an average of sh286.8. Medium industries will pay sh300.9 per unit during peak hours, sh261.8 in shoulder hours and sh201.9 in off- peak hours, an average of sh261.5.
Large industries will pay sh148.3 at peak hours, sh123.6 during shoulder hours and sh91.2 in off-peak hours, coming to an average of sh120.8.
Ssebowa said the Government would continue subsidising consumers, but give the bulk of reliefs to heavy industries, which will mitigate the higher tariff increment.
He said over the next 12 months, the Government will release sh70b to subsidise power costs and get an additional US$50m from the World Bank to further subsidise consumers over the same period.
He said the domestic consumption subsidy will be sh40.9 per unit, commercial consumption subsidy at sh26.5 a unit, medium industries at sh40.1, large industries sh67.6, while street lighting will get a sh39.9 subsidy a unit.
Sebbowa said the increment was prompted by the high cost of thermal electricity generation and was decided on on May 4 after UEDCL, which distributes the power, applied for theincreament.
He the Government would continue to waive import tax on diesel for thermal generation as it plans to construct Bujagali and Karuma hydro-power stations.