Rēzekne residents face huge rise in heating costs

Take note – story published 1 year ago

Residents of Rēzekne will face major price hikes for heating from May 1, LSM's Latvian language service reports.

The fee for heat energy will be almost 200 euros per megawatt hour (MWh) without value added tax (VAT), according to the decision made by the Public Utilities Commission (PUC).

From 1 May to 31 December 2022, the tariffs for heat supply services set by SIA "Rēzeknes siltumtīkli" will be 198.13 euros per MWh, which is nearly five times more than the currently set tariff of 42.8 euros per MWh.

Later, from January 1, 2023, the tariff is expected to be slightly lower - 195.88 euros per MWh.

At the end of April, the existing contract with JSC Latvijas gāze for the supply of natural gas, is due to expire.

According to the information provided by the municipality, this action has allowed the city to maintain a low heating tariff this heating season, while tariffs in other Latvian cities have increased significantly.

With the new contract, the company purchased natural gas for the city at a price of 109 euros per MWh, which is ten times more expensive than before.

The company "Rēzeknes siltumtīkli" was registered in 1994, and its share capital is 5.45 million euros, according to "Firmas.lv" information. In 2021, the company had a turnover of 8.344 million euros and a loss of 967,240 euros. It is owned by Rēzekne City Council.

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