In a move aimed at easing household expenses, State Electric Company (STELCO) has implemented newly reduced domestic electricity tariffs—earlier than expected—for the billing cycle of May 2025.
The reduction comes on the heels of a directive issued by President Dr Mohamed Muizzu on May 30, instructing both STELCO and Fenaka Corporation to lower electricity costs for domestic users. The official implementation date was set for June 1, 2025. However, STELCO announced that the revised tariff rates had already been applied retroactively to bills generated for May.
“This change will reduce the cost of paying electricity bills,” STELCO confirmed in a public statement, adding that all future bills will reflect the adjusted rates.
President Muizzu shared details of the new tariff structure on social media platform X, breaking down the revised rates across usage bands. The new pricing significantly lowers electricity charges for households across various consumption levels:
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0–100 units: Reduced from MVR 1.50 to MVR 1.25
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101–200 units: Reduced from MVR 1.70 to MVR 1.50
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201–300 units: Reduced from MVR 2.15 to MVR 1.50
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301–400 units: Reduced from MVR 2.50 to MVR 1.50
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401–500 units: Reduced from MVR 2.95 to MVR 2.66
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501–600 units: Reduced from MVR 3.55 to MVR 3.20
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601+ units: Reduced from MVR 4.25 to MVR 3.83
The reduction is expected to provide meaningful relief to ordinary citizens, particularly amid rising living costs and increasing electricity demands during the warmer months.
The Maldives first adopted a seven-band electricity tariff system in 2009, replacing an earlier three-band model. Although selective discounts were introduced in 2016 and 2019, the core structure of the pricing system has remained unchanged—until now.
Electricity tariffs in the country are designed to be progressive, with lower rates aimed at supporting low-income households and promoting responsible energy usage. The recent adjustment, which lowers rates across all usage bands, is seen as a significant step in making utility costs more affordable nationwide.
As of now, both STELCO and Fenaka are expected to continue issuing electricity bills under the revised tariff system, fulfilling the government’s broader agenda to reduce living expenses and enhance public welfare.
