On Tuesday, the government adopted a draft amendment to the act on support for heat recipients. It introduces a mechanism for limiting the price increase for consumers to 40 percent compared to the prices from September 30, 2022. From February 1, the new system will replace the heat price mechanism with compensation.
“The government wants to provide additional support to households and utilities by reducing heat supply charges that result from the increase fuel prices. It is about charges for heating and preparation of hot utility water. This applies to part of the fees that are transferred in rents, e.g. on households or housing communities and cooperatives.
Equalization for Enterprises
The government’s solution assumes that if in a given heating system there is an increase in the net price of heat supply by more than 40%. compared to the prices applicable on September 30, 2022, energy companies will receive compensation so that eligible customers are not charged with excessive heat costs.
As stated, the increase in heat prices for consumers for housing and public utility purposes will be additionally limited to the set level, which will depend on the historical prices of heat supply.
“The maximum net price for heat also applies to the limit resulting from the average price of heat generation with compensation. The point is to prevent excessive increases in heat prices in those locations where heat price increases occurred before September 30, 2022. In such a In this case, in settlements with recipients, the heating company will have to use the price that is more favorable for the recipient.
The maximum net price of heat supply is to include all cost components of heat supply that occur in a given heating system, including heat generation and transmission. Within 10 days of the entry into force of the Act, the President of the Energy Regulatory Office will calculate and publish the maximum net price for the supply of heat, defined separately for each energy company that holds a license and performs economic activity related to the sale of heat.
The new regulations are to enter into force on the date of publication in the Journal of Laws, with effect from February 1, 2023.
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