Serbia introduces energy efficiency fee on gas, electricity, fuel

From July, consumers in Serbia will start to pay an energy efficiency fee through electricity and gas bills, and also when buying oil derivatives. The fee is RSD 0.015 (EUR 0.000127) per kWh and RSD 0.15 (EUR 0.00127) per cubic meter of natural gas and per liter of gasoline, local media reported.

The fee was introduced under the law on fees for the use of public goods, adopted in December 2018. State natural gas company Srbijagas recently informed its consumers it would start charging it through gas bills. The fee receipts will flow into the state energy efficiency fund, which should be established at the end of the year. The fund will allocate loans and grants to citizens for improving energy efficiency, as well as purchasing energy-efficient equipment.

Miloš Banjac, assistant energy minister in charge of renewable energy sources and energy efficiency, said that the fee can be described as symbolic.

Introduction of this fee, in order to obtain a stable source of financing, was a pre-condition to receive an EU grant

For an average monthly consumption of 350 kWh, the fee will amount to RSD 5.25 (EUR 0.0446), he said, Novosti.rs reported.

Banjac noted that the introduction of this fee, in order to obtain a stable source of financing, was a pre-condition to receive an EU grant. It was earlier announced that the fund will initially have a EUR 20 million budget.

Serbia currently has a state budget fund for improving energy efficiency, which finances energy efficiency projects in public buildings. The budget in 2019 is worth RSD 500 million (about EUR 4.22 million). In mid-June, the Ministry of Mining and Energy allocated RSD 325 million (around EUR 2.76 million) for energy efficiency projects in 24 municipalities.

Since 2014, the budget fund for energy efficiency has financed energy efficiency measures at 53 public buildings, resulting in energy savings of 40%.