Electricity price hikes for the industrial sector are just around the corner: The government is set to hike electricity prices for the industrial sector for the first time in four years on the back of record-high electricity production costs, a government source told Enterprise. The price will rise by EGP 0.55 per kWh to EGP 1.94 per kWh, with the 39.6% increase slated to come into effect this month. This comes hot on the heels of reports about hikes of household electricity bills in September.

But low-consumption industries are off the hook — for now at least: Electricity tariffs will not be raised for low-voltage industries to cushion small- and medium-sized enterprises against the impact, the source said, adding that only high-consumption industries will feel the pinch from the price hike.

Despite the hikes, the state will still shoulder some of the burden: The government will introduce price hikes that are lower than the surge in production costs to partially subsidize consumers and curb inflationary pressures, the source said.

ICYMI- The Electricity Ministry has reportedly begun implementing hikes that will see household electricity prices rising by 14-40%. The hikes have reportedly come into effect for those in the highest consumption bracket using prepaid meters, while lower consumption brackets are set to follow soon and those billed monthly will see the increases reflected in their bills starting September.

Gas prices for factories could also be on their way up: The government is looking into raising the price at which gas is offered to factories, a government source in the petroleum sector told Enterprise. The current price of USD 5.75 per mn British thermal units is no longer viable due to the rising cost of natural gas supplies, they said. Any price adjustment will take the preservation of subsidies into account to keep product prices stable, they added.

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