Iran increases electricity price
Baku, Azerbaijan, Feb. 28
By Umid Niayesh - Trend:
Iran has increased the electricity price since the current Iranian calendar month of Esfand (started on Feb. 20).
The administration has increased the price by 10 percent for households and agriculture sectors.
The electricity price for other sectors witnessed an increase by 20 percent, Iran's Tasnim news agency reported Feb. 28.
In a letter to Energy Ministry and the country's Management and Planning Organization, Iran's first vice president Eshaq Jahangiri has announced that the increase is within the framework of subsidy reform plan law.
The administration of former president Mahmoud Ahmadinejad implemented the first stage of the subsidy reform plan toward the end of 2010.
The subsidy reform plan is aimed at easing pressure on state finances by cutting tens of billions of dollars from government subsidies on food and fuel. The government pays cash to citizens as compensation for increased prices by cutting subsides.
The Iranian government has increased energy carriers' prices twice since December 2010 as part of the Subsidy Reform plan, but, on the other hand the country's national currency, the rial, has lost around two third of its value since then.
Follow the author on Twitter: @UmidNiayesh