Energy Crisis Intensifies: Egypt Raises Electricity Tariffs by Up to 20 Percent
CAIRO, KOMPAS.com - Egypt has officially raised electricity tariffs for high-consumption consumers and the commercial sector starting April 2026, amid pressures from the global energy crisis triggered by conflicts stemming from the war between the United States (US) and Israel against Iran.
The Egyptian Ministry of Electricity and Renewable Energy stated that this policy is intended to suppress energy consumption while maintaining the resilience of electricity supply amid surging energy import costs.
Low-consumption household electricity users are assured to be unaffected by this policy.
“The increase is limited to segments with high consumption and commercial users in an effort to maintain electricity supply across all residential, commercial, and industrial sectors,” the ministry said, quoted from Reuters on Sunday (5/4/2026).
Meanwhile, electricity tariffs for the commercial sector at all levels have been raised higher, averaging around 20 percent.
This step is part of the Egyptian government’s efforts to mitigate rising fiscal pressures due to the surge in energy import costs, in line with the increase in global oil prices.
Prime Minister Mostafa Madbouly previously revealed that the country’s energy import bills have more than doubled since the outbreak of the conflict involving the United States, Israel, and Iran.
This situation has forced the government to take various adjustment measures, from raising fuel prices or BBM, public transportation tariffs, to postponing several state projects.
In addition, since March 2026, the Egyptian government has also begun implementing energy-saving policies, including restrictions on business operating hours.
Amid these pressures, Egypt is still facing domestic economic challenges, where high debt burdens mean interest payments absorb around half of the government’s total spending in the current fiscal year.
Meanwhile, inflation remains at double-digit levels after peaking at 38 percent in September 2023, narrowing the government’s fiscal space in maintaining economic stability.