Reconnection to electricity and gas is now free: Presidential decree issued!

Important reliefs have been introduced in the utility payments system in Uzbekistan to socio-economically support the population and business entities. In accordance with the new presidential decree, penalty-like additional payments established for reconnecting consumers who were temporarily disconnected from the electricity or natural gas networks due to debt have been officially canceled.

Previously, a fee of 2 times the basic calculation amount (BCA) was collected from the population, and 10 times from entrepreneurs and legal entities for reconnection — now such a payment will no longer be required. In addition, completely new, convenient payment mechanisms and preferential procedures were approved for "model consumers" who pay their bills on time, as well as greenhouse farms operating during the autumn-winter season.

"Penalty payments canceled and new benefits": 5 main points of the Decree

The most important official indicators of the new rules and changes in the utilities sector include:

• Reconnection fee completely canceled: The reconnection fee will not be charged from the population (2 times the BCA) and organizations (10 times the BCA) disconnected from the network due to debt;

• "Model consumer" status: A special simplified payment system has been created for citizens who have no debt and have installed "smart" meters;

• 15 percent installment payment opportunity: Model consumers can pay only a 15 percent advance payment by the beginning of the month and pay the remaining debt throughout the month;

• Not considered a violation: If model consumers experience a disconnection from the network due to debt, this will not be considered an intentional violation of the rules;

• Seasonal relief for greenhouses: In October–March, greenhouses without debt will operate on the basis of a 50 percent prepayment for gas, and pay the remaining 50 percent at the end of the month.

Comparison of old and new regulations in utility services

Classification of reliefs and payment terms introduced by the decree:

Social and economic expertise: Why this decree relieves citizens and business from a heavy burden?

Conclusions of economists, lawyers, and energy sector experts:

• "Removal of the financial penalty burden": Even when consumers paid off their debt, they were forced to pay extra money for reconnection; this worsened the financial situation of socially vulnerable families and small businesses — the cancellation of the payment protects the pockets of the population from unjustified expenses;

• Encouraging disciplined payers: The institute of "model consumers" brings discipline to the utility sector; the population will be interested in staying debt-free on time and installing modern meters, while the 15 percent prepayment softens the burden on the family budget;

• Agriculture and food security: The 50 percent payment benefit for greenhouses during the autumn-winter season will prevent a sharp rise in the prices of agricultural products and vegetables in local markets and ensure the preservation of working capital for producers.

How do you think the cancellation of additional fees for reconnection to the electricity and gas network and the opportunity for installment payments given to model consumers will affect your family budget and utility payment culture? Are you satisfied with the new rules? Leave your personal opinions in the comments and share this analysis of good news, important for all our compatriots, with your loved ones!