KIBTEK: Price of electricity to be determined by change in fuel prices

The price of electricity will be determined automatically according to the change in the price of fuel oil in a new regulation announced by TRNC PM Omer Kalyoncu in the Council of Ministers meeting.

“The price of electricity will automatically be determined by the price of fuel just as the price of fuel oil is determined according to the rise and fall of the price of oil in international markets” said the PM.

Kalyoncu also announced that a decision had been taken to reduce fixed rates as well as fees to connect or disconnect subscriptions. He added that subscribers opting for electronic bills will also be able to benefit from a discount.

“The fee for connecting and disconnecting power has been lowered from 90TL to 20TL and a 5TL discount has been introduced to fixed rates, lowering the price from 16.95TL to 12TL.

Meanwhile, the TC Electricity Authority KIB-TEK issued a statement clarifying the new regulation.

According to KIB-TEK fluctuations in the foreign exchange rates will not be directly reflected onto electricity prices.

A statement from the authority said that fuel only made up 42% of the total costs and in the event of a rise or fall in the foreign exchange rate, the reflection onto the prices would only be 4.2% in a 10% margin.

Credit: Kibris Postasi