What will happen after the suspension to the Sayrafa exchange platform? Will it continue to be the main reference for pricing electricity bills, plus 20 percent? Or will the new price be based on the established fixed market rate of 89,500 Lebanese pounds? Will electricity bills start to be invoiced in dollars?

Informed sources within the Electricité du Liban (EDL), shared to Al-Joumhouria the electricity billing rate will continue to be based on the Sayrafa platform's US dollar rate (despite its discontinuation), using the rate that was in effect on July 31, 2023, which was 85,500 Lebanese pounds per dollar, plus 20 percent.

This is based on a decision reached by the ministerial committee, which stipulates that pricing should be based on the Sayrafa rate plus 20% for the first six months of the current year until the end of June.

According to the sources, it is permitted to price electricity bills in dollars and leave the choice of payment currency to the citizen, whether in Lebanese pounds or dollars, especially after the issuance of a ruling by the Legislation and Consultation Authority that allows for this.
However, if approved, this method will be available to bills issued after July or June, not before.

Furthermore, the sources confirmed that EDL is preparing a mechanism for pricing in dollars, and a model to be followed thus far will be the Sayrafa rate plus 20 percent for those who wish to pay in Lebanese pounds and the market dollar rate for those who prefer to pay in dollars, unless the Lebanon’s Central Bank decides otherwise, i.e., a change in the billing calculation method. As a result, EDL will be forced by the mechanism imposed by Lebanon's Central Bank.
According to the same sources, EDL is currently working on addressing the issue of fixed costs on electricity bills, expressing concern that a global increase in oil prices may lower the expected difference due to the reduction of these charges.
According to what has been agreed upon in the ministerial committee, a 25 percent reduction is expected to be applied to fixed charges, which includes both the subscription fee and the qualification fee.

This will be done while keeping the subsidized rate for the first half, which is 10 US cents per kilowatt-hour for the first 100 kilowatt-hours of consumption, and lowering the rate for the second part to 26 US cents per kilowatt-hour for consumption above 100 kilowatt-hours.

Is darkness postponed?

Meanwhile, sources report that there is no imminent threat of a total blackout in Lebanon throughout October. This promise follows a prior warning from the Ministry of Energy.

Following the return of the fuel ship anchored off the Lebanese coast, EDL took measures and actions to extend the use of available supply for as long as possible. These measures include decreasing the load of Deir Ammar power plant and reprogramming the stock distribution.

As a result, the electricity supply in October will be the same as it is now, which is 6 hours in administrative Beirut and 4 hours in some areas.

Additionally, there will be an increase of two additional hours starting from the beginning of the following month in areas within the limits of administrative Beirut and zones supplied by the facilities of the National Authority for the Litani River.

This also applies to all distribution outlets that supply public facilities in all Lebanese governorates, following confirmation that the outlets in these areas are free from any network encroachments.

However, the sources have warned that the current situation cannot continue as it is if the relevant authorities, such as the Finance Ministry and the Central Bank of Lebanon, do not take action to open credits for Iraqi oil and initiate the tender process under public procurement law to secure the import of Iraqi oil before the end of October.

This is the contract's expiration date with Iraq, and it should be mentioned that the deal was previously agreed upon by the Lebanese government and the Iraqi side.

In addition, the sources stated, "If the Iraqi oil ships do not arrive during November and December, we will undoubtedly face a problem in power supply again, starting from mid-November."