Saudi Arabia pairs higher utility tariffs with monthly cash support

Saudi Arabia will revise electricity, water and wastewater tariffs from January 1, 2027, continuing its gradual shift from broadly subsidized utility prices toward more targeted aid. For homes, the electricity rate for the first 6,000 kilowatt-hours a month will rise from 18 to 21 halalas, a 16.7% increase, while the higher-use rate rises from 30 to 33; the new schedule also includes a fixed monthly charge based on connection size. Water bills will likewise be reset for residential, business and government accounts. To soften the impact, the government ordered a 500-riyal monthly increase for eligible civil and military employees, pensioners and certain survivors, alongside a 500-riyal monthly payment for social-security households. The logic is to make utility use cost more while directing help to designated groups, leaving customers a clearer financial reason to conserve power and water.