Cuba News
The Cuban government modified the rate scale that penalizes the most consumers of electricity
Published on December 11, 2020
They raise the electricity rate in Cuba, up to 15 CUP will be charged for each kWh. (Photo: Cuban newspaper)
With increasing wages and pensions in Cuba that will enter into force on January 1 as part of the “monetary order”, the Official Gazette published a resolution of the Ministry of Finance and Prices where the prices of the electricity tariff are raised, charging up to 15 Cuban pesos (CUP) per kilo Watts hour ( kWh) of energy consumed.
The Cuban government modified the rate scale that penalizes the most consumers of electricity. For example, the first section of the tariff, when up to 100 kWh are consumed, will be charged at 40 cents for each kWh consumed. The current rate is 9 cents, so as of January 1 the cost is multiplied by more than 4 times.
In the case of the last tranche, for consumers who exceed 1001 kWh per month, the extra cost for each kWh will be 15 CUP instead of the 3 CUP that are currently paid, for which the growth is 5 times more .
The same happens in the other sections of the scale. In table 1 you can see the new proposed prices and in table 2 the prices in force at this time, that is, the rate that will be discarded as of 2021.
Table No. 1 New rates approved for the collection of electricity in Cuba
| No. | Consumption tranches | ONE | Rates to the population |
| 1. | 0-100 | Kwh | 0.40 |
| 2. | 101-150 | Kwh | 1.30 |
| 3. | 151-200 | Kwh | 1.75 |
| 4. | 201-250 | Kwh | 3.00 |
| 5. | 251-300 | Kwh | 4.00 |
| 6. | 301-350 | Kwh | 7.50 |
| 7. | 351-500 | Kwh | 9.00 |
| 8. | 501-1000 | Kwh | 10.00 |
| 9. | 1001-5000 | Kwh | 15.00 |
Table N0. 2 Electricity rate valid until January 2021
| Consumption range | Price (cents per kWh) |
| 0-100 kWh | 0,09 |
| 101-150 kWh | 0,30 |
| 151-200 kWh | 0,40 |
| 201-250 kWh | 0,60 |
| 251-300 kWh | 0,80 |
| 301-350 kWh | 1,50 |
| 351-500 kWh | 1,80 |
| 501-1000 kWh | 2,00 |
| 1001-5000 kWh | 3,00 |
| More than 5000 kWh | 5,00 |
Take as an example a house that consumes 330 kWh per month. Thanks to the new rates, this consumption will be taxed at a price of 767.5 CUP. For the current rate, table 2, the cost would be 159 CUP. In summary, for this typical case the new electricity bill represents a 4.8-fold increase, almost the same increase that was planned on average for salary and pensions. Therefore, at least in the Cuban electrical world, life remains the same.
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