Householders to pay more for electricity from 2009 to 2015
(KPL) Householders would be paying more money for domestic electrical consumption as the main electricity company, Electricite du Lao declared a 15 per cent increase for household electricity in 2009.
According to a tariff study report that was made public at a workshop on 19 May, the increase would be implemented some time this year.
The report further stated that the there would be a gradual annual increase in the price of electricity so that by the year 2015 it would hit the maximum price of 25 per cent.
EDL report said that the price increase would be adjusted to the cost of production, capital expenditure and distribution.
This report also argued that there is a need for price increases at different price levels for this year and the next two years: 10 percent for 2009, 17.3 per cent in 2010 and 16.4 percent in 2011.
Deputy Minister of Energy and Mines Mr Somboun Rasombath said that the rationale for higher electricity charges is closely related to the social and economic growth of Laos.
The EDL, he added, the provider of sustainable electricity service to the users gets cash from them, which would be channeled to the development of electrical infrastructure and to the building of networks to give electricity to rural areas. He projected that the average annual rate of increase in the usage of electricity would be as high as 19.5 per cent till 2016 and this situation is exacerbated by high electrical demand in the industrial and mining sectors
The price increase for these two sectors, he said, would be six per cent in 2009, 15 per cent for 2010 and 10 per cent for the next two years, 2011 and 2012. Regarding this year?s increase, Mr Somboun said that an announcement would be made at the end of this year.
-- Edited by samakomlao on Friday 22nd of May 2009 04:12:26 AM
Why increase ? We produce a lot of dams to generate electricity and sell to neighboring countries when we can produce a lot of electricity, the price of it should become cheaper and cheaper isn't it ?
why why why ........ it should be reduce the price why increase ?...... oh i know the reason..... the dividend the they can earn are not enough to share to each other that why they increase more and more
when we can produce a lot of electricity, the price of it should become cheaper and cheaper isn't it ?
That's the theory, but never works out that way. It wouldn't surprise me that Laos sell electricity to Thailand and Thailand turn around sell it back to Laos for profits. LOL
Thailand bough electricity from Lao but, Thai people have had free used of electricity for householdder that consumed less than 80 unit/month, why?
It is Thai policy to subsidize Thai people with Thai money notthings for Lao to be concern as long as Thai still pay the bill to Lao which Thai did. Not all electricity were used in Thailand are from Lao. Thai can produce electricity ourself.
Don't you know electricity price is also depends on many many things such as how far you are from the power station. It is posible that Lao buy some electricity from Thai if that part of Lao is far away from Lao power station than Thai's.
Thailand bough electricity from Lao but, Thai people have had free used of electricity for householdder that consumed less than 80 unit/month, why?
It is Thai policy to subsidize Thai people with Thai money notthings for Lao to be concern as long as Thai still pay the bill to Lao which Thai did. Not all electricity were used in Thailand are from Lao. Thai can produce electricity ourself.
Don't you know electricity price is also depends on many many things such as how far you are from the power station. It is posible that Lao buy some electricity from Thai if that part of Lao is far away from Lao power station than Thai's.
Oops. I think I got you wrong. I think you were asking the Lao gov in that case I don't know. I'm Sorry.
if the EDL increases the price, the majority of Lao people won't accept it , but no choices Users will look for money to pay it anyway. there are many village in the remote area where the electricity doesn't arrive yet, i think those people would use the candle or Kabong rather than the electricity if the Price rises
the Government should increase the salary of government officer so that they have enough kip to pay the electricity and buy the gas for Motorbike. otherwise it's hard to live and pay the bill monthly.
just wish to point out, the title needs to be corrected. should be 15% increase in electricity tariff/bill (= pay 15% more for using the same amount). 15% increase in electricity consumption = use 15% more electricity. =)
laos exports electricity, yes? laos can sell it at market price, yes? let say it uses the dollars as the reference price (similar to what most countries do for oil).
and what if i tell you that the kip is falling at the exchange rate by something like 15%? how does the gov't recoup for the loss of profit from falling kip? maybe by charging 15% more, yes?
