The Ministry of Energy and Water announced in a statement from its media office that "the fair price for private electricity generator tariffs for July is as follows: 31,870 LL for each kilowatt hour." The statement clarified: "For subscribers with meters in cities or crowded areas or at an elevation below 700 meters:
- 5 Amp capacity: 390,000 LL + monthly subscription x 31,870 LL for each kilowatt hour.
- 10 Amp capacity: 640,000 LL + monthly subscription x 31,870 LL for each kilowatt hour.
For subscribers with meters in villages or remote areas or at an elevation above 700 meters:
- 5 Amp capacity: 390,000 LL (fixed) + monthly subscription x 35,057 LL for each kilowatt hour.
- 10 Amp capacity: 640,000 LL (fixed) + monthly subscription x 35,057 LL for each kilowatt hour.
An additional 300,000 LL is added to the fixed portion of the tariff for every additional 5 Amps. The ministry noted that "this tariff is based on the average price of a 20-liter diesel barrel in July, which amounts to 1,488,676 LL, after accounting for all generator expenses, benefits, and costs, along with a good profit margin for the owners. It also considered the cost of distributing the barrel from the fuel station to the generator, factoring in essential components like oil costs and filters, and the average monthly depreciation of the generator, with the market parallel dollar rate being 90,320 LL."
The ministry added: "This price has been issued based on the accounting table adopted by the Ministry of Energy since October 14, 2010; following Cabinet Decision No. 2 issued on December 14, 2011, regarding measures to regulate private generator prices, and based on the joint application mechanism between the ministries (Energy, Interior, and Economy) announced on December 20, 2011, which defined the responsibilities of the Ministry of Energy and Water in disseminating the private generator pricing based on diesel prices at the end of each month."
The Ministry of Energy and Water urged generator owners to "comply with the decision of the Ministry of Economy and Trade regarding the requirement of installing meters, which will conduct a documented study in this regard in the upcoming period leading to an update of the adopted formula to better suit fluctuations in exchange rates and the economic and social situations of citizens, considering the demands of private generator owners."
It announced that it has sent letters to the Ministries of Interior and Economy regarding the pricing for July 2023 to take necessary measures according to the joint regulation mechanism. Regarding elevators and common areas sharing three-phase capacities, the generator owner should calculate the fixed portion of the pricing based on single-phase capacity. For instance, if the elevator and common areas subscription is for a three-phase breaker of 3x15 Amps, the fixed portion is calculated based on 15 Amps, not 45 Amps, which equals 1,080,000 LL, not 2,790,000 LL.
The Ministry of Energy and Water drew the attention of private generator owners and citizens to "not include the following additions to the guiding price issued by the ministry:
1. Unjustified value-added tax based on official registration at the TVA Directorate of the Ministry of Finance.
2. Additional fees or amounts under any pretext such as generator maintenance costs or network costs, etc.
3. Pricing to consumers in foreign currency.
4. Additional fees for citizens using solar energy devices alongside private generators."
The Ministry of Energy and Water called on relevant parties to protect the consumer, especially the Ministry of Economy and Trade, to "intensify oversight on the proper application of the above guiding pricing and take the utmost measures against violators, with support from the Ministry of Interior and municipalities and the competent judiciary."
