MENA residential users to pay higher electricity prices

They are expected to pay an average tariff rate of $0.

They are expected to pay an average tariff rate of $0.98/kWh.

Residential electricity consumers in the Middle East and North Africa (MENA) region are expected to pay higher prices than industrial and commercial users as governments focus on economic growth.

In a report, BMI said several markets aim to diversify their economies and promote growth by lowering tariffs for commercial and industrial users.

Promoting economic growth will boost competitiveness, attract investments, and create jobs.

“Whilst electricity prices in the MENA region continue to be artificially low due to subsidies, across the region, residential and industrial users have paid higher tariffs than commercial users,” the report read.
“We expect this trend to continue throughout our 12-month forecast period,” the report read adding that residential consumers will have to pay more.

This year, the average tariff rate for residential users is expected at $0.98 per kilowatt-hour (kWh), compared to $0.92/kWh for industrial and $0.86 for commercial users.

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