Kuwait has introduced a new law aimed at tackling widespread debt evasion related to public utility bills. Starting in three months, residents and businesses who fail to pay their electricity, water, and other essential service bills within 30 days of notification will face automatic suspension of these services.
The newly approved Decree-Law No. 75 of 2025 gives ministries and public institutions the authority to halt services digitally for anyone with overdue payments. The law applies to a range of utilities, including water, electricity, and telecommunications, addressing growing arrears that have put significant pressure on state finances.
Under this law, service will be immediately restored once the outstanding balance is cleared. For those experiencing genuine financial difficulties, installment plans may be arranged by competent authorities. However, failure to adhere to these payment plans will lead to swift debt recovery actions, such as asset liens and expedited enforcement measures.
The legislation also requires customers who disagree with a suspension to file a written grievance with their service provider. Providers must respond within 30 days, and only after this step can cases proceed to court. This process is designed to reduce unnecessary lawsuits and lighten administrative workloads.
Further, the law grants government agencies a priority lien on debtor assets and treats official debt documents as “executive instruments,” allowing authorities to seize assets without lengthy court procedures. Debts can be pursued for up to ten years after the due date, with the timeline restarting each time the state issues an official demand.
It is important to note that judicial fees remain outside the scope of this law and are governed by separate regulations. This new law marks a significant shift in how Kuwait manages unpaid utility bills, aiming to ensure timely payments and protect public resources.
