KRG Offers 50% Discount on Legacy Electricity Debts Under Runaki Reform

The Ministry of Electricity has introduced a limited-time debt settlement initiative offering discounts on legacy electricity bills as part of broader reforms supporting the Runaki (Light) Project and modernized electricity services.

KRG Ministry of Electricity logo. (Graphics: Kurdistan24)
KRG Ministry of Electricity logo. (Graphics: Kurdistan24)

ERBIL (Kurdistan24) - The Kurdistan Regional Government's Ministry of Electricity has launched a one-time initiative to reduce outstanding electricity debts accumulated before the implementation of the Runaki (Light) Project, offering substantial discounts to households, farmers, businesses, and public institutions as part of a broader effort to ease financial pressures while supporting the modernization of the Region's electricity sector.

The program is designed to help subscribers clear long-standing obligations under favorable terms while encouraging a smoother transition to the government's evolving electricity system, which aims to deliver more reliable services through improved administration and digital payment mechanisms.

Under the initiative, residential and agricultural subscribers will receive a 50% discount on eligible legacy electricity debts, while commercial, industrial, and government subscribers qualify for a 25% reduction. The Ministry said exceptionally large industrial consumers that operate through dedicated private power lines are excluded from the program.

To benefit from the discount, subscribers must settle the remaining balance of their eligible debt through a single lump-sum payment. The Ministry clarified that installment payments will not qualify for the reduced rates, making full settlement a requirement for participation in the initiative.

Officials said the repayment period will begin on Aug. 3 and continue through Sept. 10, giving subscribers a limited window to take advantage of the one-time offer.

As part of preparations for the program, the Ministry announced that the E-Psula digital payment platform will be temporarily suspended between July 30 and Aug. 3 while technical updates are completed to incorporate the discount system.

Once the platform resumes operation, subscribers will be able to process eligible payments electronically through E-Psula, which the Ministry identified as the preferred payment method.

Officials said the digital system is intended to simplify the settlement process and reduce congestion at electricity offices by allowing subscribers to complete transactions without relying on in-person payment procedures.

The Ministry also noted that the discount cannot be processed through field electricity bill collectors, directing subscribers to use the designated digital platform instead.

Beyond providing financial relief, the initiative forms part of the Kurdistan Regional Government's broader efforts to modernize electricity administration under the Runaki Project.

The government has presented the reform program as a long-term initiative to improve electricity services while introducing more efficient administrative and payment systems.

Within that framework, the debt settlement program seeks both to reduce the burden of accumulated bills on consumers and to support a more sustainable financial foundation for the electricity sector.

The expanded use of digital services, including E-Psula, reflects the government's effort to streamline payment procedures, improve accessibility for subscribers, and enhance the overall management of electricity services as reforms continue.

By pairing debt relief with administrative modernization, the Ministry aims to make the transition to the updated electricity system more manageable for households and businesses while reinforcing compliance with future billing requirements.

The Ministry emphasized that the current program represents a final opportunity for subscribers to resolve legacy electricity debts under discounted terms.

According to the announcement, no additional discount campaigns will be offered after the Sept. 10 deadline. Once the repayment period expires, authorities said outstanding debts will be subject to legal and administrative recovery procedures without further reductions.

Officials urged eligible subscribers to complete the process within the designated timeframe, describing the initiative as a limited measure intended to help consumers clear historic obligations while supporting the Kurdistan Region's continuing electricity sector reforms.

Summary

The KRG Ministry of Electricity has introduced a one-time debt settlement program offering 50% discounts for residential and agricultural subscribers and 25% for businesses. The initiative supports the Runaki Project by easing financial burdens, expanding digital payments, and strengthening electricity sector reform.