Myanmar's new 'Economic Rate' sets electricity tariff at US$0.45 per unit

The new electricity tariff will be 900 kyats (US$0.45) per unit, starting this February.

Union Minister for Electric Power U Nyan Tun announced this during a meeting with officials and business owners at the Mandalay City Development Committee City Hall on Wednesday (February 4).

The meeting focused on the status of electricity generation and distribution in Mandalay Region.

The Union Minister said that the total installed capacity of the Ministry of Electric Power by source is currently 6,725 megawatts from 32 hydroelectric power plants, 24 natural gas-fired plants, two coal-fired plants and 12 solar power plants and can generate about 4,000 megawatts when fully operational.

However, due to attacks by insurgents and the gradual decline in natural gas production, more than 600 megawatts of electricity have been reduced, resulting in only 3,000 megawatts per day produced, and in some areas, distribution is only provided on a part-time basis.

Efforts have been made to overcome these difficulties in all possible ways.

The damaged power lines and substations are being repaired promptly.

Although electricity generation from LNG is expensive, efforts have been made to generate electricity from LNG, which will be available in a short time, in order to meet the demand and to increase productivity in industrial zones.

The LNG project was planned to produce LNG to power and supply it to industrial zones before 2023, and the 500 MW LNG power plant project was successfully implemented, and the plant has been able to supply 500 MW of power since January 14, 2026.

Although LNG production is expensive, our ministry has emphasised “LNG to Industry” in order to ensure that industrial production continues to accelerate.

To maintain the continuous supply of power and balance the cost of electricity generation, an “Economic Rate” has been set for industrial and commercial sectors, and since the new electricity rate will be charged at 900 kyats from February, both meter readers and consumers must sign an agreement for units charged for January.

Although the electricity rate has increased, it has created a good manufacturing environment with a strong energy guarantee for entrepreneurs, so businessmen will be able to successfully expand their businesses.

The electricity rates used by the public are the same as before, and the public will be able to use more of the electricity previously used in industrial activities, so all industrialists need to work together and cooperate for the economic development of the country, he said.

The Chief Minister for Mandalay Region then discussed the situation of the main industrial zones in the region and the creation of a good manufacturing environment with strong energy guarantees for industrialists.

After that, the officials explained the plan to generate power from LNG to meet the country’s electricity needs, the difficulties, the current power generation, the repair of the power lines destroyed by the terrorist insurgents, and the situation of distributing power to the industrial zones, industries and businesses in Mandalay Region after the LNG to power plants started generating 500 megawatts of power.

Next, officials and businessmen from the industrial zones in the region discussed the situation of charging electricity to industries and businesses at the new rate and the advantages and disadvantages of increasing the electricity tariff.

The Union Minister was accompanied by Mandalay Region Chief Minister U Myo Aung, regional ministers, Acting Chairman of Mandalay Electricity Supply Corporation, Director Generals, Leading Directors and departmental officials from Office Departments and Enterprises, officials from industrial zones in the region, and businessmen.

Eleven Media

Asia News Network