Thoriq: Renewable energy has to increase and subsidy must be reduced

Environment Minister Thoriq Ibrahim has said that a large part of electrical subsidy is being spend by the state budget and so amount of renewable energy used has to be increased reducing the spending on subsidy.

Speaking at the inauguration of the law on connecting renewable energy sources to the electrical networks via a net metering system held at Hotel Jen today, Minister Thoriq said that 45 percent of the electrical bills are paid by the government as different subsidies.

“…a large portion of the electrical bills are, about 45 percent of electrical bills government gives as subsidy; as fuel subsidy and other subsidies. This fuel subsidy we have to find a way to reduce it.

Minister Thoriq said that finding a people to provide renewable energy sources on business basis is something the energy sector must do now.

“BML has now established a BML Green Fund. From that fund about 500 Maldivian Rufiyaa has been assigned. The purpose of that fund is also to get renewable energy sources to the Maldivian people, giving a cheap or concessional loan. So that concessional loan and the net metering introduced today, if these two connect, a way the people and private businesses can do it is possible. Next is, as I believe, finding people who would provide renewable energy sources on a trade basis.” Environment Minister Thoriq said.