Electricity

Slovenia prepares EUR 200 million to mitigate impact of energy crisis

Slovenia prepares EUR 200 million to mitigate impact of energy crisis

Photo: Slovenian parliament

Published

February 24, 2022

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Published:

February 24, 2022

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Slovenia’s parliament has adopted the laws on measures to mitigate the impact of the high energy prices caused by the energy crisis. The laws for households and businesses envisage EUR 203 million aid.

The aid for households is a mix of EUR 150 per home in one-time payments and a three-month suspension of surcharges for supporting producers of power from renewable sources and high-efficiency cogeneration, as well as the distribution and transmission network fees, according to the local media.

Payments will be received by about 465 thousand pensioners with pensions lower than EUR 1,000 in December, and about 67,000 beneficiaries of social aid or security allowance from December and the disability compensation.

The money for households will be secured from the climate change fund

It will be also given to the 139,000 recipients of child allowance, 26,000 recipients of the large family allowance, and foster parents. About 6,000 families with four or more children will receive an additional EUR 50.

Payments are planned by April 15 at the latest, and around EUR 108 million will be secured from the climate change fund.

All households will be freed from the obligation to pay the support for producers of power from renewable sources and high-efficiency cogeneration in February, March, and April. The measure will be also implemented for low-voltage non-metering customers.

The energy regulator said some measures are not in line with the EU law

Network fees for the distribution and transmission operators will not be charged for three months to all customers.

The non-monetary measures are expected to lower electricity bills by 30 percent.

Slovenia’s Energy Agency has opposed the measures, saying they are not in line with the European Union law. Small shareholders of distribution companies are also against them. They said they would appeal at the constitutional court.

Aid for firms and farmers is worth EUR 95 million

Companies that suffered energy cost hikes of more than 40 percent year-over-year will receive one-time grants while farmers will get compensation per hectare in line with their business. The aid for companies is worth EUR 70 milion, and for farmers EUR 25 million.

The amount of aid for each company will not exceed 60 percent of the increase of energy costs, while the range of grants is from EUR 30 per entity to EUR 2 million.

The government anticipates the aid will be paid to about 40,500 firms, and about 41,000 farmers.

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