Electricity bills higher due to comparison with discounted months: STELCO

State Electric Company Limited (STELCO) has said that the recent rise in electricity bills is because people are comparing the May bills to the discounted bills issued in previous months.

The clarification came after many social media users shared screenshots of their latest electricity bills, claiming they were too high despite the government's recent decision to reduce domestic electricity tariff rates. Some expressed concern over the bills for the past three months.

A STELCO official told Mihaaru News that the bills for March and April included government subsidies. These discounts were offered during Ramadan and a period of extreme heat, both of which typically result in higher electricity usage. The official said that when comparing bills, people should take into account the discount amounts indicated on the earlier bills and look at the actual units of electricity consumed.

The official also noted that May was another hot month, likely causing increased usage of air conditioning and other cooling devices. As a result, higher consumption may have contributed to the higher bills, even though the new reduced tariff rates were applied.

To help customers manage electricity consumption, STELCO advised turning off all electrical appliances when not in use. They added that if the electricity meter continues to run even after everything is switched off, there might be a technical issue with the meter that should be reported.

President Dr Mohamed Muizzu had instructed STELCO and Fenaka Corporation to reduce domestic electricity tariffs starting from June 1. STELCO said that the bills for May were calculated using the new reduced rates. The higher amounts, therefore, are not due to increased tariffs but likely due to increased consumption.

Electricity in the Maldives is billed using a tiered system. Customers are charged at lower rates when using less electricity, while higher consumption leads to billing in higher price bands. This system is intended to promote energy efficiency and help low-consumption households manage their expenses.