By: Chioma Madonna Ndukwu
Egypt is set to significantly increase electricity rates for households, with hikes ranging from 14.45% to 50% depending on consumption.
This move is part of a broader strategy to phase out subsidies, in line with an $8 billion loan agreement with the International Monetary Fund (IMF). For households with prepaid meters, the new rates took effect on Saturday, while those with regular meters will see changes from October 1. The government had previously delayed these hikes due to economic pressures, including a delay at the start of summer as the nation grappled with power shortages. To avert a grid collapse during the high cooling demand, Egypt had to import around $1.18 billion worth of natural gas and mazut fuel oil, highlighting the critical role natural gas plays in the country’s electricity generation.
Source: Africanews
