Chief Government Spokesperson Mohamed Hussain Shareef has stated that the Government is working to find a long-term and sustainable solution to concerns over rising electricity bills.

Speaking during the weekly press briefing, the Spokesperson said reducing electricity costs remains a priority for the Government as it directly affects the living standards and economic wellbeing of the public. He noted that the Maldives currently relies heavily on diesel generators for electricity production, adding that efforts are underway to improve the efficiency of generators and electricity distribution systems.

He added that the Government’s long-term strategy focuses on increasing the use of renewable energy across the country. He noted that President Dr Mohamed Muizzu has set a target of generating one-third of the Maldives’ electricity consumption through renewable energy sources, with several related projects already awarded or in the process of being awarded.

Shareef explained that under renewable energy projects, the Government determines the price at which electricity can be generated and sold, noting that solar and battery-based solutions are expected to reduce electricity costs even without heavy subsidies for consumers. He added that transitioning to renewable energy would help ease the financial burden caused by dependence on imported fuel for electricity generation.

However, he noted that until a permanent solution is achieved, the Government would continue facing costs linked to fuel imports, supply operations and logistics associated with diesel-based power generation, which would require continued subsidies.

The spokesperson also stated that administrative changes are being implemented to reduce electricity generation costs, including transferring electricity services in some islands from Fenaka Corporation to STELCO as part of broader restructuring efforts.