Thursday , October 19 2017

Water, electricity charges hike aimed at curbing consumption – ‘Not to collect more money’

KUWAIT CITY, May 21: Ministry of Electricity and Water Undersecretary Muhammad Bo Shehri explained the new water and electricity charges for commercial and investment sectors which take effect Monday are aimed at rationalizing consumption of water and electricity, not to collect more money.

Bo Shehri assured the price hike does not match the actual cost of producing electricity and water. He affirmed that rationalization is better for the ministry than any price increase.

He explained a trader who used to pay KD 1,500 will pay KD 2,500 so he will be forced to reduce consumption, confirming this will be in his favor and the State as well. He expects that consumption will not decline on the first day of implementing the new charges as it will take about three or four months for consumers to realize the difference – once the bills reflecting the new charges are issued.

He clarified private houses are excluded from the new charges according to the law issued in 2016. He pointed out the ministry is studying some actions including the awareness campaigns to encourage those residing in private houses to follow the rationalization policies.

Meanwhile, sources from the ministry affirmed that it has found a solution to the problem of not putting water and electricity meters to zero level prior to implementation of the new charges.

Sources explained the consumption recorded before Monday will be calculated based on old charges, while the consumption recorded from Monday onwards will be calculated based on the new charges. Sources said this will prevent errors in charging consumers.

While confirming the continuation of procedures to separate meters in investment and commercial sectors, sources said the charge per kilowatt for these sectors will be five fils and the relevant survey has yet to be completed. Sources added the ministry is ready to implement the new charges in the two sectors, affirming it inspected the new automated system a couple of weeks ago.

Meanwhile, eight non-specialized local companies secured contracts as agents of foreign companies in oil industry projects worth KD 827.1 million after obtaining approval from relevant authorities such as the Central Tenders Committee (CTC), reports Al-Shahed daily.

By Muhammad Ghanem Al-Seyassah Staff

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