Will there be a price hike for natural gas? Minister Bayraktar announced

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Lerato Khumalo

Minister of Energy and Natural Resources Alparslan Bayraktar answered questions live on air.

WILL THERE BE AN INCREASE?

Highlights from Minister Bayraktar’s statements are as follows:

“One of our priority areas in this process is also the fight against inflation. We work by taking into account the inflationary effect of energy prices. We want to carry out this process as smoothly as possible in order to accelerate the downward trend in inflation.

NEW ERA IN BILLING

A consumer who has reached a certain level is a high-income consumer. Let’s say there are many electrical devices in their home. Let’s say 400-500 kilowatts. It is important to define the support groups correctly here. This is in our OVP program. We want to put it into practice by looking at 2024 consumption. There are approximately 36 million subscribers in Turkey. We think that a 3 percent segment may be a high-consumption group. We will tell them ‘this is the cost of electricity, pay this cost’. We are working on it. We plan to implement it in 2025.

“WE NEED TO DO A CAREFUL WORK”

There is a concept called price elasticity of this consumption group, consumption or demand. This is something related to your income level, comfort and expectations. Honestly, I can say that it is appropriate for such a consumption group to be able to bear these costs and that it will make the support groups more comfortable. There may be things we cannot foresee here. In the rural areas, maybe 3 families with 1 meter, a father and 2 sons living in the same place, as a result, their consumption will exceed that figure. Since these are sensitive processes, we need to do meticulous work. It would be more correct to share the work with the public after it is completed. We try not to make mistakes by taking exceptions into account. In essence, we aim to switch to cost-based pricing for groups that can bear the cost.