WRITE for ATol ADVERTISE MEDIA KIT GET ATol BY EMAIL ABOUT ATol CONTACT US
Asia Time Online - Daily News
             
Asia Times Chinese
AT Chinese



    Central Asia
     Feb 25, 2010
Bakiyev faces protests over fuel bills hike
By Timur Toktonaliev

Sharp increases in the price of electricity and central heating have left many in Kyrgyzstan struggling to survive. The price for electricity has already doubled this year and the cost of central heating has shot up by 500%.

The Kyrgyz government says it has been forced to cut subsidies and pass on the real cost of utilities to the consumer so as to cope with the effects of the world economic crisis and to build up funds to invest in the energy sector. Officials say it costs more to generate electricity and provide hot water than business and domestic customers pay. The increases match the cost price, they say.

Consumers are less than enamored of the scheme. A straw poll

  

of 63 people conducted by Institute of War and Peace Reporting on the streets of Bishkek produced a unanimously negative response.

"What have I got to be happy about?" said a female pensioner who lives on her own. "I get 2,500 soms [US$56] a month ... I don't have enough to live on. And now they've added on 130 soms and I'll have to pay 350 soms [monthly] for hot water."

Prime Minister Daniyar Usenov said he was aware of how unpopular the move had been. "Today, every family in Kyrgyzstan is cursing Usenov's government because it introduced radical measure for increasing tariffs," the prime minister acknowledged at a meeting in the energy ministry on January 21.

Gulbayra Tynaeva, a 50-year old single mother and shopworker in Bishkek, is one of many people struggling even harder to make ends meet. Her bill for heating and electricity in January was the equivalent of $40, compared with her previous monthly bills of around $18. She also has to pay for gas, water and phone from a monthly salary of $134, about the national average. After deducting other expenses such as her son's school fees and travel, she is left with around $29 to buy food.

"I buy only the most basic stuff and even that's expensive - potatoes, sugar, flour and oil," said Tynaeva, adding that the family had not eaten meat for two months. "Do we have to die of starvation?"

To soften the blow, groups identified as vulnerable such as pensioners and public sector workers - who earn less than the monthly average - will receive payments from a $60 million government fund. However, the compensation payments work out at just $4 a month over the four winter months to help with heating costs.

A Bishkek resident on a $56 monthly pension said the money was simply not enough. After paying her bills, she said she had $15 left. "You just about have to go out and start begging," she said.

Ibragim Junusov, a member of parliament from the ruling Ak Jol party, says the government is considering allowing pensioners and businesses to spread their winter electricity payments over the whole year.

Businesses have also felt the impact of electricity price increases and have decided to pass them on to customers from February. "Electricity costs account for 8% of the cost of the product," said a bakery owner who gave her first name as Gulbara. She said she held prices down in January, but will now have to raise them to avoid going into the red.

Energy expert Jamakadyr Akeneev predicts "living standards will decline and discontent will rise".

Opposition parties have vowed to campaign against the government's decision.

Azimbek Beknazarov, the leader of the opposition alliance United People's Movement (UPM), criticized the government for introducing the increases without public consultation, and said opposition groups would do all that they can to reverse the decision.

"I meet a lot of ordinary people, particularly in the villages, who say they aren't going to pay and will just steal electricity," he said.

Beknazarov recalled that one of the demands in the March 2005 "Tulip Revolution", when Askar Akaev was ousted as president by a popular uprising and the present head of state, Kurmanbek Bakiyev, came to power, was that he would reduce utility rates and provide the entire population with electricity.

"President Bakiev has not done this," he said. "On the contrary, by privatizing the energy sector and increasing prices, he is doing what Akaev didn't have time to do."

Opposition parties are planning to make the price rises one of the main talking-points of an assembly they plan to hold on March 17. Participants are expected to write to the Kyrgyz president demanding that this and other issues be addressed. If there is no response, the UPM, the main opposition bloc, says it will stage public protests. Timur Toktonaliev is an IWPR-trained journalist in Kyrgyzstan. (This article originally appeared in Institute for War and Peace Reporting. Used with permission.)


Kyrgyzstan seeks economic lifeline
(Aug 18, '09)


1. Anger spreads on Marjah's front line

2. Dubai hit exposes Hamas' weaknesses

3. Cross-border militants strike back

4. Strike reverberates beyond Afghanistan

5. Conversation as a taste of harmony

6. Death by trillions of dollars

7. Revolution fuels Iran's ambitions

8. The case for an Israeli strike against Iran

9. American blitzkrieg

10. The man behind Turkey's strategic depth


(24 hours to 11:59pm ET, Feb 23, 2010)

 
 



All material on this website is copyright and may not be republished in any form without written permission.
© Copyright 1999 - 2010 Asia Times Online (Holdings), Ltd.
Head Office: Unit B, 16/F, Li Dong Building, No. 9 Li Yuen Street East, Central, Hong Kong
Thailand Bureau: 11/13 Petchkasem Road, Hua Hin, Prachuab Kirikhan, Thailand 77110