Energy, Gas, Gas Market , Latvia
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Friday, 29.03.2024, 11:32
Regulator approves new natural gas tariffs in Latvia
She said that compared to the initial plan, the regulator
has managed to reduce the average tariff by 16%. Compared to the present
tariffs, the new costs have been cut by 8% or EUR 4.5 mln. The new tariffs will
come into force as of January 1, 2019.
Starting from January 1, payment for natural gas services
will be made up of two parts – fixed cost and variable cost that will depend on
the amount of consumed gas. The tariffs have been approved for eight groups of
users based on the amount of consumed gas.
The variable part of the tariff has been reduced for all groups
of users compared to 2008 tariffs. Payment for consumed gas has been reduced by
48.6% for households who use gas for cooking, and by 23.4% for households who
use gas for heating.
In line with the new tariff plan, customers who consume natural
gas up to 6 m3 per hour will have a fixed fee at EUR 1.77 per month, customers
consuming 6-10 m3 per hour will have to pay EUR 6.63 per month in the fixed
fee.
Gaso submitted the
new tariff project to the regulator in February 2017.
Gaso board
chairwoman Ilze Petersone-Godmane
said that the new tariffs had been necessary in order to adapt to the current
situation in the natural gas market and to ensure the necessary safety
standards.
She said that the main and local gas distribution pipelines
initially had been projected for larger capacities, while natural gas
consumption has decreased in the past years. Some customers have gas connection
capacities that are not used, therefore they should be revised and made
efficient.
The more than 5,200 kilometers long natural gas distribution
network should be gradually renovated, and it requires constant investments.
She also said that the present tariffs do not meet the
current market situation requirements. 20,500 customers have very low gas consumption,
but their infrastructure should also be renovated and maintained, and these
costs are covered by other gas consumers.
Gaso, a subsidiary
of Latvijas Gaze, is the only natural
gas distribution system operator in Latvia. The company launched operations in
December 2017.
Gaso’s share
capital is EUR 39.9 mln comprised of 39.9 shares with a face value of EUR 1
each.