Electricity billing for public lighting to shift to domestic rates from 2026

Effective January 1, 2026, the billing for electricity used to illuminate roads and public spaces in all cities and islands across the Maldives will transition to domestic rates, aligning with the charges applied to ordinary households.

President Dr. Mohamed Muizzu made this announcement on Monday evening.

In a statement posted on X, President Muizzu confirmed that municipal utilities State Electric Company (STELCO) and Fenaka will bill councils at domestic rates for lighting public areas. This change is anticipated to free up municipal funds, enabling increased expenditure on other essential services.

Currently, councils are typically charged at a higher electricity rate compared to residential consumers. The upcoming adjustment is expected to reduce the financial burden on councils regarding their electricity bills.

STELCO is the primary electricity provider for Malé City, while Fenaka serves the majority of islands in the atolls.

The public has previously expressed concerns regarding inconsistencies in household electricity bills, which sometimes vary despite stable usage, and an increase in power outages, particularly in Malé City and Addu City. This government has also stated its objective to provide affordable electricity to the populace.

This policy shift by President Muizzu comes shortly after the dismissal of Hussain Fahumy as the Managing Director of STELCO on Sunday. Ahmed Samah Rasheed, former CEO of MIFCO, has been appointed as his successor. Fahumy was subsequently appointed to a ministerial-level position within the President's Office on Monday.

Prior to Fahumy's removal, STELCO had faced criticism due to frequent power outages across Malé City and Hulhumalé. Notable incidents include a six-hour power loss in both areas on June 1 and another widespread outage lasting two hours and 30 minutes on the morning of August 9.