A neighborhood generator in Dikwaneh, on the outskirts of Beirut, July 30, 2024. (Photo: P.H.B.)
BEIRUT — After the announcement of increased monthly rates for private generators in Lebanon, the highest since April, which has seen some bills even double, a meeting was held Friday at the Grand Serail to launch a "mechanism" of oversight designed to identify operators exploiting price increases to charge clients additional "unjustified" fees.
During this meeting, officials emphasized that while a "mechanical" increase is inevitable due to rising global fuel oil prices, they want to ensure that no operator "takes advantage" by adding extra charges to bills, either by overcharging those who pay a flat rate and therefore don’t have a meter for their consumption, or by tampering with meters if they are installed, according to a source familiar with the discussions who spoke to L’Orient-Le Jour.
A campaign has therefore been launched, in coordination with security forces and nationwide, to spot any potential "unjustified" excesses. While fuel oil prices have risen sharply in recent weeks, this increase has been passed onto prices in Lebanon, with the official tariff for a kilowatt-hour produced by generators in coastal and densely populated areas rising from LL40,746 in July to LL48,241 in August, an increase of more than 18%.
The 'burden' of generators
For Economy Minister Amer Bisat, who spoke after the meeting, officials are "aware of the burden that large increases in generator bills place on Lebanese families, especially during the summer months" when consumption rises due to air-conditioning. He noted that even if there is a "real and justified" rise in costs, "unjustified" increases also exist. In this context, Bisat said that this increase "does not give anyone the right to exploit citizens’ need for electricity," reminding that the official monthly tariffs "already include the cost of fuel oil, as well as operating, maintenance costs, and the profit margin."
To counter these excesses, the minister announced that a "model" for combating violations, initially put in place in Tripoli and Mina in northern Lebanon, which consists of fining and possibly seizing generators, would be "expanded to the entire Lebanese territory." Inspections and oversight visits will intensify, and coordination has been established with prosecutors and security services to ensure that findings are "swiftly referred to justice and judicial measures taken," he said, noting that representatives from the various security agencies and the prosecutor general of the Court of Cassation, Rami al-Hage, were present at the Serail.
"When a generator providing power to a given area is confiscated, coordination will take place with the relevant local authority so they may take possession and ensure the continuity of service, so that citizens are not penalized by violations committed by the generator owner," Bisat explained. He stressed, "The official rate is not a suggestion, the installation of meters is not optional, and no one has the right to arbitrarily add fees or surcharges to citizens’ bills." Authorities decided several years ago to mandate the installation of electric meters on private generators, one for each household. But despite several campaigns to ensure this decision is enforced, many generator owners continue to resist.
Private generators have been tolerated for decades, during which they have established themselves as a stopgap for the structural production deficit of Electricité du Liban (EDL).
