New ‘multiple tariff’ energy rates revealed
THE government has reintroduced the option for consumers to switch to a “multi-rate” electricity tariff system, eight months after abolishing it.
Prime Minister Ünal Üstel announced the Cabinet decision earlier this week, saying that “switching to the multi-tariff could result in cheaper electricity for the public”.
According to the details published in the Official Gazette, customers currently on residential, commercial, industrial, tourism, university, and water pump tariffs can start applying to switch to the new multi-tariff from this Monday onwards at regional Cyprus Turkish Electricity Authority (Kıb-Tek) offices. The multi-tariff system will come into effect on November 1.
The pricing for the “winter period”, which lasts until May 15, states that electricity used between the “normal” time of 7am and 5pm will be charged at 3.3285TL per kilowatt hour (kWh).
“Peak time” energy usage, between 5pm and 10pm, will cost 4.646TL per kWh, while electricity consumed during “off peak” hours (10pm to 7am) will be charged at 2.1941TL per kWh.
Unlike the previous multi-tariff system, there are no different times or rates for usage on weekends or public holidays.
The above rates do not include other costs added to electricity bills, such as the “fixed fee”, street lighting, potential “fuel” fees, and KDV (VAT).
According to the information in the Official Gazette, consumers can change their tariffs a maximum of twice a year.
Those who have solar energy systems and who are currently benefitting from “offsetting” are not eligible to apply for the multi-tariff.
Consumers considering switching to the multi-tariff will need to work out if it will save them money compared to KıbTek’s existing “single” tariff, depending on how much electricity they use and when they use it.
The single tariff, which was introduced earlier this year and led to a backlash from households and businesses alike, uses a sliding scale of higher rates for higher usage.
Under this tariff, electricity costs 1.6110TL per kWh for the first 250kWh used each month; then 3.3237TL for consumption between 251 and 500 kWh; 3.5737TL for consumption between 501 and 750 kWh; 3.8737TL for consumption between 751 and 1,000kWh; and 4.6237TL for consumption of 1,001kWh and above.