Ministry of Finance officially suspends implementation 15% VAT on residential electricity consumption

February 8, 2024
Ministry of Finance

, Wednesday, 7th February 2024 – The (MoF) has issued a press release directing the , Ltd (ECG) and the Northern Electricity Distribution Company (NEDCO) to suspend the implementation of the Value Added Tax () on residential electricity consumption. This directive follows the MoF's letter to ECG and NEDCO dated 12th December 2023 and a subsequent press statement on 30th January 2024.

In the press release, MoF cited the need for further engagements with key stakeholders, including , before proceeding with the implementation of the VAT on residential electricity consumption. The Ministry aims to foster innovative, robust, and inclusive approaches that address the existing fiscal gap while enhancing economic resilience.

The suspension is expected to remain in effect until conclusive discussions are held with all relevant stakeholders. The MoF's Public Relations Unit issued the statement, emphasizing the government's commitment to a comprehensive and consultative approach in addressing fiscal matters.

Latest from Finance