Public Utilities Commission approves higher thermal energy tariffs of Latvenergo that will affect heating tariff in Riga

RIGA - The Public Utilities Commission has approved new thermal energy tariffs for Latvenergo thermal power stations No. 1 and 2, which will be several times higher than the current ones and affect heating tariffs in Riga.

As LETA learned from the Public Utilities Commission, considering that 88 percent of the thermal energy tariffs are made up of natural gas and that the prices of natural gas are relatively variable, Latvenergo asked that the tariffs, just as before, be set in accordance with different natural gas prices. According to the Public Utilities Commission, natural gas tariffs will range from EUR 10 to EUR 225 euros per MWh, without value added tax.

Therefore, if the price of natural gas is EUR 140 euros per MWh, the heat generation tariff of Riga thermal power stations next heating season will be between EUR 185 and EUR 190 per MWh on the average.

According to the current prices, in September thermal energy tariff for Riga thermal power station No. 1 is EUR 53.49 per MWh and EUR 54.41 per MWh for thermal power station No. 2.

The new thermal energy tariffs will enter into force on October 1. Tariffs have been raised due to "the increase in the price of fuel (natural gas), the increase in the cost of emission allowances, the reduction in the amount of energy produced by almost half, as well as the unexpected costs accumulated during the last heating season".