The Cape Verdean state plans to spend up to €4.8 million to compensate electricity companies for revenues not recovered due to tariff discounts applied between September and December.
“The maximum estimated amount of financial compensation owed to concessionaires for revenues not recovered as a result of the application of the discounts is set at €4.8 million, for the period from September to December 2026,” reads a dispatch published in the Official Gazette.
The compensation will be borne by the state through funds allocated in the 2026 Supplementary State Budget, earmarked for measures to reduce the impact of electricity tariff increases, up to the limit of available funds.
Between 1 September and 31 December, beneficiaries of the social electricity tariff will continue to be shielded from the tariff increase through a 100% discount. For all other consumers, a 70% discount on the increase will apply.
The discounts cover consumers of both public electricity service concessionaires: the Empresa de Distribuição de Eletricidade de Cabo Verde (EDEC) and Águas e Energia da Boa Vista (AEB).
The Agência Reguladora Multissectorial da Economia (ARME) will be responsible for monitoring the application of the discounts and verifying on a monthly basis the amounts no longer collected by the companies, communicating the results to the government.
The discounts and the maximum compensation amount may be amended or suspended by a new government decision, taking into account developments in the energy, economic, and fiscal situation.
Source: Diário Económico
Original article: https://www.diarioeconomico.co.mz/?p=536004
