Egypt's Ministry of Electricity and Renewable Energy announced late Saturday price hikes for commercial and residential electricity consumption effective this April, citing the global energy crisis triggered by the U.S.-Israeli conflict with Iran.
In a statement, the ministry said that the current "acute and unprecedented global crisis" across all energy resources, caused by the ongoing war in the Gulf region, has necessitated price increases for certain commercial and residential consumption tiers starting this month.
According to the statement, commercial consumption prices across various brackets will rise by an average of approximately 20 percent.
For residential consumption, prices for tiers consuming 2,000 kWh per month and above have been raised by an average of 16 percent, while rates for all tiers below the 2,000 kWh threshold will remain unchanged.
The ministry added that around 40 percent of subscribers fall within the lowest residential consumption categories, and most of them are exempt from the price increases.
Austerity measures announced by the government in late March included activating remote work systems, slowing the implementation of fuel-intensive mega-projects, and cutting fuel allocations for all government vehicles by 30 percent.
Additional measures included cutting business hours for shops, restaurants, cafes and malls as well as reducing street lighting and billboard illumination by one-third.
Egypt raises electricity prices amid global energy crisis
The Zambian government has declared the current fuel supply situation an emergency amid the ongoing tensions in the Middle East.
On March 31, Zambian Minister of Information and Media Cornelius Mweetwa said in a statement that the cabinet had approved zero-rating of value-added tax and the suspension of excise duty on petrol and diesel imports for a period of three months.
Mweetwa, also the government spokesperson, noted that the government is concerned about the continued conflict in the Middle East, which have disrupted global oil supply chains, resulting in rising international fuel prices and upward pressure on domestic pump prices.
Also on March 31, Zambia's energy regulator announced an upward adjustment in fuel pump prices. Under the new pricing structure, petrol has increased by 2.03 percent, while diesel has risen by 28.09 percent.
Zambian residents have already been feeling the impact. Their ability to travel is curtailed and they are forced to wait in long lines for refueling.
"You have to spend some time on looking for fuel. The war should come to an end, and then fuel supply will flow," said Fredrick Nabuzoka, a local resident.
"My business is down. I cannot move regularly like I used to because of the fuel problem," said Fridah Mbiza, another resident.
Analysts warned that the fuel shortage extends beyond the country, which raises fear and worsens an already precarious energy insecurity.
"The energy insecurity is huge. It's not just for Zambia, it's about 75 percent of other African countries. And for Zambia, the price definitely is also going to swing up, just like other countries. And also, there is another fear, apart from just the price going up. The other fear is the availability factor," said Johnstone Chikwanda, a Zambian energy expert.
The ongoing U.S.-Israeli war with Iran and Tehran's retaliatory strikes across the Gulf region have triggered a shortage of liquefied petroleum gas globally because of the reduction of sea traffic through the key oil shipping route, the Strait of Hormuz. The closure of the sea route has sent global oil prices soaring.
Zambia declares fuel supply emergency amid Middle East tensions
