Government Considers Electricity Price Hike Amid Plant Closures

The government is contemplating a significant increase in electricity prices, which could further strain the public already facing economic challenges. Reports suggest that consumers may soon bear an additional cost of Rs2.94 per unit, translating to a monthly burden exceeding Rs20 billion. The surge in prices is attributed to the closure of 22 low-cost gas-powered plants and 13 natural gas-powered plants in recent months, leaving only 9 operational plants running on RNLG. Additionally, electricity generation from furnace oil was noted in the previous month, with a total production of 7.75 billion units costing Rs72.76 billion.

The potential price hike comes at a time when inflation is already a pressing concern for the public. With the closure of multiple power plants, the cost of electricity production has surged, prompting the government to consider passing on the burden to consumers. If implemented, this increase could lead to higher monthly electricity bills for households and businesses across the country.