Stelco cuts fuel surcharge

State Electric Company (Stelco) has cut the fuel surcharge from its services, following the decision by government in June to cut import duty on fuel.

Stelco announced this Monday that its fuel surcharge has been cut to MVR 0.00 starting June 18. It had previously charged MVR 0.35 per unit as fuel surcharge.

The cut will result in a reduction in electricity prices.

Speaking during a press conference held this Monday, Deputy Managing Director of Stelco, Mohamed Latheef said the change will result in a reduction of MVR 8.54 million in fees paid to the company by customers each year.

Stelco reports 73 percent of its customers use less than 600 units of electricity per month, and that the customers will get a 10 to 15 percent reduction in their electricity bill.

Customers who use over 600 units of electricity per month will get a seven to nine percent reduction in their electricity bill.

Businesses which use less than 1,000 units of electricity per month will get a six to seven percent reduction in their electricity bill, and businesses which use over 1,000 units of electricity per month will get a six percent reduction in their electricity bill.

Stelco reports the reduction will be seen by customers from their electricity bills in August.