LF MPs at the electricity press conference, Thursday, Sept. 5, 2024. (National News Agency)
The Lebanese Forces (LF) parliamentary bloc submitted a draft law Thursday under an urgent double-review procedure. If passed, the law would grant private-sector companies 10-year licenses to produce and distribute electricity as the country implements broader energy sector reforms, according to the National News Agency (NNA).
At the same time, the Parliamentary Committee on Energy, Water and Transportation met under MP Sajih Attieh’s chairmanship, with the participation of caretaker Energy and Water Minister Walid Fayad, to address the electricity crisis. No specific solutions were proposed. Instead, Attieh criticized the ongoing finger-pointing among various factions, urging the caretaker government to take action.
Soaring generator bills
During a press conference after the LF’s proposal, attended by MPs Ghassan Hasbani, Antoine Habchi, Fadi Karam, Ghada Ayoub, Razi Hage and Nazih Matta, Hasbani condemned the government’s failure to manage the electricity crisis, which he said “is no secret to anyone.” He blamed the lack of implementation of strategies and laws, particularly the 2002 law that governs the electricity sector and mandates the establishment of a regulatory authority. “This has led us to complete darkness,” Hasbani said.
High generator costs, increased EDL tariffs
The LF MPs cited skyrocketing neighborhood generator bills, rising Electricite du Liban (EDL) tariffs, pollution from generators and overall chaos in electricity management as the reasons for their proposed law. “The electricity problems haven’t been resolved; they’ve only worsened,” Hasbani said.
The proposed law mandates that private companies provide electricity at reduced costs to residents for 10 years, using the medium-voltage grid, which would also help reduce pollution. MP Antoine Habshi explained that the goal is to address Lebanon’s electricity woes, noting that Lebanese citizens currently pay some of the highest electricity rates in the world. “Transparently involving the private sector, while respecting the environment, to provide low-cost electricity to the population is a quick solution to an immediate problem, while allowing time to implement reforms in the sector,” Habshi said.
EDL’s responsibilities would include preparing contracts and tender specifications. The law would benefit EDL by generating revenue from leasing the medium-voltage grid to private companies, Habshi said. He also pointed out that “half of Lebanon’s public debt is due to the mismanagement of the electricity sector.”
This article was originally published in L'Orient-Le Jour and translated by Sahar Ghoussoub.
