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12 halala, the tariff for heavy electricity consumption by businesses, starting next week.. and these categories are excluded

The formula of the observatory: the competent authorities will start dividing the tariff for the electricity consumption of the establishments into two categories, starting next week, and it will be applied to existing establishments for a period of 7 years, starting next year 2023, and to new factories until the end of 2030.

High energy consumption has been broken down into two definitions as follows:

1- The value of the first tariff for sectors where the ratio of electricity cost to operating costs without raw material costs is equal to or greater than 20%, equal to 12 halala for the value of each kilowatt connected to the grid ( transmission) and 18 halala per kilowatt connected to the (distribution) grid.

2- The cost of the second electricity tariff, which amounts to operating costs without raw material costs between 10% and 19.9%, at a value of 18 halala per kilowatt for the (transmission) grid and 24 halala for the price of a kilowatt connected to the (distribution) network.

Certain categories were also excluded from the decision, namely:

1- Government and residential sectors.

2- Institutions and charities and cooperatives.

3- Private health and educational facilities.

A committee chaired by the Ministry of Energy will determine the target sectors for the distribution of the tariff according to consumption, with the participation of the ministries of “Finance, Investment, Economy and Planning”, the Regulatory Authority for water and electricity and of the Local Content and Public Procurement Authority.

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