2014: Upward Pressure On Electricity Tariffs In Asia


BMI View : Electricity tariffs in many countries in Asia were changed over the course of 2013, with the majority being upward revisions. Given the possibility for the gap between the cost of electricity generation and revenues generated from electricity sales to widen further, we believe that there is significant scope for further tariff increases in 2014. Several countries have already implemented price revisions since the start of 2014, but we believe there is still room for more price revisions among several Asian countries over the course of 2014.

Electricity tariffs in many countries in Asia were changed over the course of 2013, with the majority being upward revisions. In this article, we analyse the reasons for these revisions, and look at the possibility of further revisions to electricity tariffs in 2014. We also identify the impacts of these possible changes on various parties in the sector.

In 2013, some of the more noteworthy tariff revisions in Asia include:

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