RIYADH May 7 Saudi Arabia's system of
electricity subsidies "should be revised", the chief executive
of Saudi Electricity Co, the country's majority
state-owned power utility, said on Tuesday.
"Subsidies are becoming a big part of the government
budget," Ali al-Barrak said at a financial conference in Riyadh.
"Subsidies should be revised and done in a different way. They
should be smarter and support the low-income people."
He also described subsidy reform as one tool to reduce
energy consumption. Fuel and water subsidies are also issues for
the government, he added.
Earlier, Economy and Planning Minister Mohammed al-Jasser
said at the conference that Saudi Arabian government subsidies,
particularly for fuel, were "increasingly distorting" the
economy and that the government was trying to address the issue.
He did not give any details or say whether his comments
indicated a new initiative by the government.