BERC withdraws increased electricity prices for low-income consumers

The Bangladesh Energy Regulatory Commission (BERC) has withdrawn additional electricity prices for marginalised and low-income customers, offering crucial relief to vulnerable households. 

The decision, announced on Thursday following applications from distribution companies, will come into effect from June. 

Under the revised directive, electricity for residential lifeline customers consuming between zero and 50 units has been fixed at Tk 4.63 per unit, while those in the first-phase category consuming up to 75 units will pay Tk 5.26 per unit. 

This rolls back a hike announced just a day earlier on Wednesday, which had seen lifeline tariffs surge by Tk 0.69, or roughly 15 per cent, taking the cost to Tk 5.32 per unit. 

The policy reversal impacts a significant portion of the population, with Power Division data indicating there are currently 17.882 million lifeline connections across the country. 

Of them, 16.147 million fall under the Rural Electrification Board (REB). 

The government has historically subsidised electricity for this demographic to support their health, education, and overall standard of living. 

Despite the concession for low-income users, the broader tariff hikes announced on Wednesday remain firmly in place. 

At the wholesale level, the price of electricity has been raised from Tk 7.139 to Tk 8.39 per unit, marking a 19.85 per cent increase. 

Similarly, the average retail price has climbed by Tk 1.52, representing a 16.68 per cent increase that takes the cost from Tk 9.11 to Tk 10.63 per unit. 

All other consumer categories, excluding residential lifeline and first-phase users, will continue to pay the increased rates set out in the mid-week announcement.