The journalist of the NIAT “Khovar” conducted a comparative analysis of the cost of electricity in the countries of the world and received interesting statistics
DUSHANBE, 10.10.2019 / NIAT Khovar /. On June 22, 2019, the Government of the Republic of Tajikistan adopted a resolution on increasing electricity tariffs.
The cost of electricity increased by almost 17%. During September, the Tajik population pays 22.66 dirams (2.1 cents) for every kilowatt of electricity, instead of the current tariff of 19.37 dirams (1.87 cents).
The correspondent of the NIAT “Khovar” Khushnud RAKHMATULLOSODA conducted a comparative analysis of the cost of electricity in different countries of the world and received interesting statistics.
Tariffs were increased for all categories of consumers, except the State Unitary Enterprise Tajik Aluminum Company (TALCO). For the main consumer of Tajik electricity – TALCO, the tariffs are: from May 1 to September 30 – 7.20 diram per kilowatt / hour, in the winter period (from October 1 to April 30) – 11.80 diram.
The tariff for industrial and non-industrial consumers is now 55.14 dirams, for consumers in the public sector, utilities and sports complexes – 22.66 dirams, for water pumps and pumping stations for machine irrigation, repair and production facilities of the Agency for Land Reclamation and Irrigation – 7, 87 dirams (from April 1 to September 30) and 22.66 dirams (from October 1 to March 31), for reclamation vertical wells, reclamation pumping stations – 7.87 dirams.
The use of electricity in electric boilers and electrical equipment to provide hot water and heating for buildings will amount to 136.62 dirams per kilowatt (for non-budget sectors) and 40.37 dirams (for budgetary organizations and institutions).
For pumps for the supply of drinking water (with the exception of individual pumps) and sewage – 10.76 dirams.
Also, a separate category was added to the Resolution of the Tajik Metallurgical Plant, which will receive from September 1 every kilowatt of electricity for 9.68 dirams (from April 1 to September 30) and 55.14 dirams (from October 1 to March 31).
Why did electricity go up?
The increase in electricity prices occurred in Tajikistan on the recommendation of the World Bank and the European Bank for Reconstruction and Development, which advise the Government of Tajikistan to gradually raise electricity tariffs in order to promote the rational use of electricity. And then, prices are rising everywhere and in everything. They tend to increase as the cost of production increases and the needs of the population increase.
We will remind, earlier the chairman of the state energy holding “Barki Tochik” Mirzo Ismoilzoda said that tariffs are raised in order to keep energy facilities in working condition, which is expensive.
Barki Tojik reported that current tariffs do not cover costs.
“In 2019, a special working group was created to verify the audit of Barki Tojik by ministries and responsible departments, which, on the basis of the analysis, established that, taking into account current tariffs, Barki Tojik’s revenues in 2019 will amount to approximately 3.5 billion somoni and expenses – 4.1 billion somoni. In this regard, the working group was proposed by the Government to increase tariffs by 17%, ”said Rustam Majidzoda, head of the Barki Tochik Finance Department, at a press conference in Dushanbe.
He emphasized that at present, taking into account the return on investment, the cost of one kilowatt of electricity is almost 29 dirams, and the average tariff for electricity is 20 dirams.
In accordance with the Government Decree, a certain amount of electricity for poor families is compensated: in the amount of 150 kilowatts from April to September and in the amount of 250 kilowatts from October to March.
In the Antimonopoly Service, the increase in electricity prices was associated with the need for financial stabilization of Barki Tochik.
“he financial condition of Barki Tojik needs to be improved. And the tariffs that apply to the population and enterprises now do not cover the costs of the holding. That is, existing tariffs are lower than the cost of electricity produced, ”Nazar Odinazoda said at a press conference on July 17 as deputy head of the Antimonopoly Service of Tajikistan.
At a meeting of the Government of the Republic of Tajikistan on June 21, 2019, it was noted that due to the measures taken to reduce electricity losses in the period 2014-2018, the level of electricity losses decreased from 17.3 percent in 2014 to 15.5 percent in 2018. During this period, the useful volume of electricity in the domestic market increased, and fundraising from 1 billion 40 million somoni in 2014 doubled in 2018 and reached 2 billion 79 million somoni.
The President of the Republic of Tajikistan, respected Emomali Rahmon, in order to further improve fundraising and further reduce the level of electricity losses, instructed to make efforts to completely switch to a modern system of accounting for the consumption of electricity transmitted from substations to the last consumer.
It was decided that to determine the actual size of the energy losses, their reduction I and the increase in the volume of fundraising for the use of electricity through the transition to the new system to the Ministry of Energy and Water Resources, the State Service for Control in the Energy Sector and the Barki Tochik Open Joint-Stock Holding Company, it is necessary to take concrete measures and report annually to the Government of the Republic of Tajikistan on the results .
The report of the Minister of Energy and Water Resources of Usmonali Usmonzod to the Government of the Republic noted that Tajikistan has developed an action plan to improve the financial condition of Barki Tochik OAHK for 2019-2025, the implementation of which will require $ 1.2 billion.
It is noted that these funds will be used for current payments, payment of accounts payable to independent electricity producers (Sangtuda-1 HPP and Sangtuda-2 HPP), payment of commercial debts to a local bank (Orienbank), creation of the necessary infrastructure for counting, reconstruction and modernization of transmission and distribution facilities, etc.
So, we were convinced that the increase in electricity tariffs was caused by the need to streamline the energy system. Undoubtedly, the increase in tariffs entails an ambiguous reaction. However, let’s think about how much the Tajik people pay for the electricity they use?
What is the situation in the countries of Central Asia
The population of Turkmenistan has been using natural gas, water, and electricity for free since 1993. Later, the first President of Turkmenistan, Saparmurat Niyazov, extended the Decree of the People’s Council until 2030. However, deputies voted to abolish the benefits. Starting January 1, 2019, the free consumption of electricity and gas, drinking water and table salt was canceled.
In early November 2018, tariffs for energy carriers – gas, electricity, gasoline and diesel fuel were raised in Uzbekistan. Since June 1, 2019, the Ministry of Finance of Uzbekistan has substantiated the need to increase tariffs by the fact that without this it is impossible to attract investment in the energy sector, since no investor will invest in obviously unprofitable industries.
The cost of kilowatt / hour of electricity for household consumers in a neighboring country is 250 soums ($ 0.030). For citizens living in apartment buildings and hostels, centrally equipped with electric stoves for cooking, the tariff will remain at 125 soums ($ 0.015) per kilowatt / hour. Gas supplied to the population by meters costs 320 soums ($ 0.038) per cubic meter, in the absence of meters – 553 soums ($ 0.065). The price of gas for heating is 320 soums ($ 0.038).
How much is light in other countries of the world?
The cost of electricity given in the rating is an estimate of the average level in the country for comparison purposes and may vary significantly in each case depending on the place of residence in the country, the volume of family consumption, the availability of electric stoves, central heating, etc.
The top ten countries with the cheapest electricity for the population include some of the former Soviet republics. The cheapest light in Turkmenistan. Electricity is not much more expensive in Tajikistan, Kyrgyzstan and Uzbekistan, where light for the population costs $ 0.02 per kilowatt.
If we talk about Kazakhstan, then the tariffs there can be called very moderate – from 3 to 11 cents per kilowatt.
Ukraine is in fifth place, with an average price of 0.05 dollars per kilowatt / hour. Almost the same price for light in Azerbaijan.
Electricity in Belarus is a little more expensive – 0.06 dollars, in Georgia and Kazakhstan light at 0.07 dollars, and the “cheap” ten countries of the world are Serbia and Russia, where the population pays 0.08 dollars for electricity.
In the USA, light costs the same as in Turkey, at $ 0.10 per kilowatt. Poles, Czechs and Slovaks are already forced to pay more – at 0.18 dollars per kilowatt. In France and the UK, prices are almost the same – in the range of 0.21-0.22 dollars.
In Greece, Sweden and Austria per kilowatt of electricity per hour you need to pay 0.24 dollars. Relatively expensive electricity in Germany and Denmark – at 0.38 dollars per kilowatt per hour. It is not surprising that in these countries “green” technologies and energy saving are so popular.
The Solomon Islands are the absolute champion in the value of the tariff – there you will have to pay as much as 95 US cents for 1 kW. In these places, people solve the problems of power supply on their own – they put diesel and wind generators, as well as solar panels. In second place is another island nation with the romantic name of Tonga – almost 50 cents per kilowatt. The third place is occupied by the famous island of Jamaica. Everything is fine at this resort – the climate, the sea, and the birds with shells. But electricity bills are not encouraging – almost 45 cents.
In New Caledonia (a special administrative-territorial formation of France located in the Pacific Ocean) and on the Cook Islands, the lamps do not turn on without special need, because an account will come where every kilowatt costs t 42 to 44 cents. In American Samoa, known as the state with the richest inhabitants in the world, electricity tariffs are also too greasy – 41 cents.
In Switzerland, the Netherlands, Spain, and Finland, tariffs range from 20 to 28 cents per kilowatt.
Israel provides electricity to its citizens at 18 cents. In Montenegro and Bulgaria, 1 kilowatt costs 16, 15 and 11 cents, respectively.
Next are countries that provide the population and industry with fairly inexpensive electricity.
In China, India and Egypt, tariffs range from 7.5 to 10 cents per kilowatt / hour. Paraguay, Vietnam and the UAE have the same tariffs – only 8 cents.
The average price of electricity in the world varies from 8 to 20 cents per kilowatt, regardless of the income of citizens.
Canada is interesting in that the province of Ontario, the most populated in the country, buys electricity 2-3 times more expensive than the rest, including the capital of Ontario – the city of Toronto.
Norway, selling the population kilowatt / hour at 15.9 cents, was and remains at the same time the “world champion” in the production of electricity per capita.
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In general, as the analysis showed, electricity prices are far from always associated with the availability of own capacities or energy resources. In many respects they are determined by the world market and the economic policies of states.
The analysis shows that, taking into account the Rogun hydropower plant under construction, the commissioning of the Sangtuda-1, Sangtuda-2 hydropower plants in recent years, and numerous small hydropower plants, it can be concluded that the economic policy of the Government of the Republic of Tajikistan is aimed at curbing rising electricity prices and way, on the social protection of the country’s population.
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