Russians Will See Their Electricity Rates Rise To A 18-Year High
- 24.09.2026, 22:39
To pay for UAV defense.
The Russian government has planned the sharpest increase in residential electricity rates in nearly two decades following a call from power generation companies to include the costs of protecting power facilities from drones in their rates, reports The Moscow Times.
According to a three-year macroeconomic forecast published Thursday by the Ministry of Economic Development, in 2027, energy rates for consumers will be indexed by 14.4%—the highest increase since 2009, when they rose by 25% as a result of a reform that eliminated cross-subsidies.
An additional adjustment of 12.1% is planned for 2028, and another 10.1% for 2029. In total, over the three years, electricity rates will rise by 41.1%—nearly twice as much as projected in the previous May forecast (8.6% in 2027, 9.1% in 2028, and 5% in 2029).
According to the Ministry of Economic Development’s forecast, total housing and utility payments will increase by 11% next year instead of the originally projected 8.7%. An 8.6% adjustment is planned for 2028 (instead of 7.1%), and a 7.6% adjustment for 2029 (instead of 6.1%), totaling 40.9% over the three years
Gas prices for Russians will rise by a total of 26.8% over 2027–2029. The rate increase next year will be 10.4%, in 2028—7.4%, and in 2029—7%. In addition, heating rates will increase by 27.2% over three years, water supply rates by 25.4%, and wastewater rates by 24%.
In September, the Council of Energy Producers—the industry’s largest association, which brings together generating companies accounting for 90% of the country’s total installed capacity—proposed incorporating the costs of UAV protection into electricity rates. The organization stated the need to allocate funds “to improve security and restore the sector” and to factor these costs into the capacity surcharge.
Since the start of the war, electricity rates for Russians have already risen by 39.2%. In 2022, they were raised twice (by 4% and 9%); in 2024, by 9.1%; and last year, by 12.6%. For this year, the government has planned an additional 11.3% increase effective October 1. By the end of the decade, taking into account the increase planned by the Ministry of Economic Development, the cumulative increase is expected to reach 118.6%.
Total housing and utilities rates have risen by 41.1% since the start of the war; they will increase by another 9.9% starting October 1, and by the end of the decade, their indexation will also reach 118.6%