Electricity Tariffs Increased in Azerbaijan

Azerbaijan's Tariff Council has approved adjustments to domestic electricity tariffs, citing increased production costs linked to natural gas price hikes and the need to enhance the sustainability of electricity services, the council said on January 2.

The new tariffs aim to balance affordability for households with the economic sustainability of the electricity sector.

New Tariff Structure for Households:

1. Consumption up to 200 kWh per month: Tariff increased by 0.4 qepik (5%) to 8.4 qepik per kWh.
2. Consumption between 200 and 300 kWh per month: Tariff increased by 1 qepik (11.1%) to 10 qepik per kWh.
3. Consumption above 300 kWh per month: Tariff increased by 2 qepik (15.4%) to 15 qepik per kWh.

The average household tariff rose by 0.7 qepik (7.8%), with expected monthly cost impacts as follows:

• 65% of households: increase of 45 qepik.
• 20% of households: increase of 1.33 AZN.
• 15% of high-consumption households: increase of 5.61 AZN.

The council emphasized that for the majority of households (65%), the tariff increase is limited to 0.4 qepik (5%) per kWh, reflecting a commitment to keeping basic electricity access affordable.

The new tariff structure takes effect today, aiming to reduce financial pressures on the electricity sector while maintaining service reliability for consumers.