Dominican Republic state electricity distributors face significant financial deficits

State-owned electricity distributors in the Dominican Republic (EDE), including Edenorte, Edesur, and Edeeste, are operating with tariffs below the official reference costs. This discrepancy contributes to a substantial financial deficit that requires government intervention through the Electricity Tariff Stabilization Fund (FETE). Between January and July 2026, the state allocated US$589.7 million to cover these differences.

Data from the Ministry of Energy and Mines reveals that the EDEs lost 44.1% of the energy they purchased during the first seven months of 2026. Of the 12,072.1 GWh acquired, 39.9% was not billed, while 4.2% was billed but not collected. These losses stem from both technical issues in the distribution infrastructure and non-technical factors.

While state distributors maintain lower rates for residential users, private distributors in the eastern region of the country charge higher prices, ranging from RD$19.07 to RD$24.93 per kWh.