Electricity pricing in the residential sector of Myanmar



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1..The electricity bill Electricity pricing in the residential sector of Myanmar by Mr. Aung Thet Paing October 2015 The electricity bill comes with monthly charges in post-paid system. It contains the amount of monthly charges and monthly maintenance fee. The rates below in Table (1) are for residential settlements, temples and churches including the surrounding areas to such settlement. This rate is calculated per one official electricity meter set by Ministry of Electric Power (MOEP) through its departments, YESC and ESE. [Yangon Electricity Supply Corporation (YESC) [formerly known as Yangon City Electricity Supply Board (YESB)] for Yangon region and Electricity Supply Enterprise (ESE) for other regions and states in Myanmar] Calculations of Electricity charges for residential sector Electricity Consumption Price per unit (kyat/kwh) The first 100 kwh (1-100 kwh) 35 The next 100 kwh (101-200 kwh) 40 Unit above 200 kwh 50 Meter service fee 500 kyat per month For example, a household uses 250 kwh will have to pay 11,000 kyat as calculated below. Electricity bill for consuming 250 kwh = (100 x 35) + (100 x 45) + (50 x 50) + 500 = 10,500 kyat [The electricity tariff for commercial sector has the same distribution and collection system with different tariff rate minimum of 75 kyats/kwh and maximum of 150 kyats/kwh. Foreigners have to be charged 12cent/kWh] For residential sector again on the other hand, if we know a household s expense on electricity, we can modify this calculation to find out its electricity consumption in kwh as Page 1

well. The table below shows the ranges of electricity consumption matching with the ranges of the electricity bills. Electricity consumption Range of electricity bill (kyat) [including maintenance fee] The first 100 kwh (1-100 kwh/month) 535-4000 The next 100 kwh (101-200 kwh/month) 4040-8000 Units above 200 kwh/month >8000 The following figure (1) is the typical electricity bill for residential sector and figure (2) is the translation of the electricity bill. [1 kwh = 1 unit] Figure 1: Typical electricity bill Page 2

2. Electricity Generation and Supply Figure 2: Translation of typical electricity bill The following diagram shows the process that power generation, transmission and distribution to the end users. Figure 3: Electricity supply from generation to end-users Page 3

Ministry of Electric Power (MOEP) is the main ministry and taking responsibilities almost all processes starting from power generation to the distribution reach to end users. Ministry of electric power has four main departments to carry out these processes in each step. After 2010, when new government take responsible, some IPP and JVs for power generation started participating in power generation. However, the transmission and distribution are still under authority of ministry of electric power. Currently, 64% of total power generation is consumed in Yangon and all other areas in the country are using the remaining 36%. This is the reason that ministry of electric power divided two distribution departments and YESC is taking authority of the power distribution in Yangon region and ESE is taking the other areas except Yangon. Procedures needed for applying the household electricity Submission of document to the authority including: (1) Application form (2) Household registration (3) Type of property and ownership (own land, House, condo, apartment etc.) (4) National registration card of the applicant The application fee is 90,000 Kyat. After the application, the authority checks the residence and register for the power supply. The process will take around a month. If the resident owner wants to do some home industry, they have to apply for the power meter which is supply 440 Volt. This will be done by the same procedures with different application fees. 3. Some informal billing From National grid (On-grid) In some rural areas, the community or village construct their own distribution line and buy electricity from national grid. Then community administration collects the electricity charges depending on the type of electric products used by the households. For example, in a village in Inle, Shan state, the households have to pay 2000 kyat per month for a refrigerator whatever the size of it and have to pay 1000 kyat per month for a television regardless of the type and size (box or flat, any inches in size). Off-grid electricity According to the survey for rural area, Bithut village in Labutta Township, Delta region, most of the villages have access electricity from community grid such as by using Page 4

private diesel generators. The electricity price for one day is 100 kyat for lighting, 200 kyat to 300 kyat for TV, Fan, and Refrigerator. The lowest income for household (general workers) in remote rural area is 90,000 kyat per month (one day per 1500 kyat x 2 people x 30days). They normally use two incandescent light bulbs or two florescent lights at night for 4Hr (6pm to 10pm). It costs them 200 kyat per day (i.e. 6,000kyat/month). The following table is an example of calculating the cost. Normally the electricity supply only supply for 4Hr per day. Lighting & Appliances Kyat per Electricity Appliance hour Amount One lighting for one day 100 4 hour 100 Two lighting for one day 200 4 hour 200 Three lighting for one day 250 4 hour 250 TV for one day 200 4 hour 200 Refrigerator for one day 300 4 hour 300 Electric fan for one day 300 4 hour 300 Remark If they want to use electricity in day time for some religious or traditional events, they will pay double charge for one day. Page 5