Electricity tariff changes apply to businesses, not households – Ministry of Energy

On December 27, a government decree (Resolution No. 894) reduced the additional payments for electricity and gas consumption above the established norm for entrepreneurs. The limit itself was also increased.

Previously, legal entities had to pay double the tariff if their electricity consumption exceeded the limit specified in the contract by more than 10%. After the changes, entrepreneurs will continue to pay the basic tariff if their electricity and gas consumption exceeds the limit by up to 20%. If the consumption exceeds the limit by more than 20%, the payment will be 20% higher than the basic tariff.

The Ministry of Energy emphasized that the interpretation of these requirements was incorrect, and Clause 85 does not apply to household consumers.

"Incorrect information is circulating on social media claiming that 'if electricity consumption exceeds 200 kWh, each additional kilowatt will be charged at 540 UZS instead of 900 UZS.' This confusion stems from a misinterpretation of the provisions in Government Decree No. 894, signed on December 27, 2024," the message states.

As mentioned earlier, the norms for gas (except for strategic enterprises, fuel filling stations, and household consumers) and electricity only apply to legal entities. For example, if a production workshop with a monthly limit of 100,000 kWh consumes 125,000 kWh, it will pay 1080 UZS per kilowatt for the 5,000-kWh exceeding the limit, not 900 UZS.

Household consumers fall under the third tariff group and are not subject to this rule. The Ministry of Energy specifically states that "except for household consumers" is clearly indicated in the rules.

"Due to some bloggers misunderstanding the essence of the decree and spreading incorrect information, confusion has arisen among the population," the Ministry said.

From May 1, 2024, electricity and gas tariffs in Uzbekistan were increased, and social norms for energy consumption were introduced. The following social norms for energy consumption were set:

- Electricity: up to 200 kWh per month;

- Gas (from March to October, and from March to September in the Republic of Karakalpakstan and Khorezm region): up to 100 cubic meters;

- Gas for heating season (from November to February, and from October to February in Karakalpakstan and Khorezm): up to 500 cubic meters.

These norms are lower than the proposed amounts from July 2022 (electricity: 250 kWh, gas outside the heating season: 200 cubic meters, gas during the heating season: 700 cubic meters), but later the government abandoned the idea of increasing these amounts and introducing them as primary standards.

In October of last year, Minister of Energy Jurabek Mirzamakhmudov stated that there are no plans to raise the 200-kWh electricity consumption limit. "The norm was not increased; rather, it was analyzed and implemented based on consumption patterns and standards," he explained.

Starting from April 1, 2025, gas and electricity tariffs will increase again. However, the Uzbek government will continue to subsidize gas and electricity prices from 2025 to 2027, and the state budget will allocate trillions of UZS to cover the difference between domestic market prices for gas and electricity and their retail prices.