Power tariff hike

Photo: STAR

Electricity price has again been raised at the consumer level by 21.2% in two phases. The energy regulatory commission has increased the price to Tk 5.02 from Tk 4.16 per unit. The retail price in the first phase is being raised by Tk 0.55 per unit with retrospective effect from December 1. Another hike of Tk 0.31 will take place on February 1 next year. When people are smarting from sky-rocketing price of essentials and petroleum products, this fresh hike of power tariff is really very painful. The chairman of the energy regulatory commission said the increase in electricity would help the government save about Tk 10 billion in annual subsidies. It is true that Bangladesh is facing severe pressure on the economic front. The government has increased its bank borrowing heavily. The government is tired of providing subsidies to different service sectors. So, to reduce subsidies, the government has no way but to raise power price. But the government should also consider the plight of the common people.
The government has decided to establish costly rental power plants to solve power crisis. The government is also giving excess subsidies to buy electricity from rental power stations at exorbitant price. This is also contributing to price hike. It is feared that price will go up further thereby worsening the suffering of the common people.