The coalition has reached a conceptual agreement on two main approaches through which the state could provide support to residents and businesses in response to rising heating costs, Economy Minister Viktors Valainis said.
The minister explained that one possible solution could be support for companies to enable the introduction of split or equalised payments for district heating services. Analysis indicates that some companies lack sufficient working capital to implement such a mechanism, therefore the state could provide loans to supplement their working capital. There is a shared understanding within the coalition that such support will be necessary if the impact of rising costs becomes significant.
The second area of government action is related to assistance for households. This year, €52 million has been allocated in the state budget for housing benefits; however, current forecasts indicate that this amount may be insufficient, given the expected number of applications and the increase in heating costs. Preliminary estimates suggest that an additional approximately €8 million may be required so that municipalities can provide benefits to all eligible recipients, Valainis explained.
The minister stressed that the housing benefit is available to any household regardless of income level, as the support is calculated using a formula that takes into account actual expenses and the amount of funds remaining after bills are paid. It is planned that this benefit will serve as the main support instrument both for users of district heating and for households that rely on firewood or pellets.
Valainis noted that precise information on cost dynamics is currently delayed
because in many places the first heating bills have not yet been issued. As a result, work is being done using provisional data. Once actual bills become available, it is planned to prepare an informational report, a financial request, and proposals for further action. The necessary solutions have been conceptually developed, but their final formulation will only be possible after accurate data are received, the minister said.
Earlier, Minister for Climate and Energy Kaspars Melnis (Union of Greens and Farmers) stated that municipalities are not signalling any emergency problems due to rising heating costs. He said that at a meeting with colleagues held on Monday, the current situation regarding increased heating expenses was discussed. The minister noted that it was important to determine whether there were any issues with fuel availability. During a meeting with the Latvian Association of Local and Regional Governments last week, information was received that the overall situation is stable.
At the same time, Melnis acknowledged that
at the end of last week, some municipalities experienced short-term problems with pellet availability,
but these were promptly resolved.
LETA also reported that, in order to support residents during the cold winter months and reduce the financial burden on households, from the 1st of January to the 31st of May of this year, Rīgas siltums will not apply contractual penalties for delayed payments for supplied heat energy for the period from December 2025 to April 2026.
In addition, until the 31st of May the company will allow settlements of debts accumulated in previous periods without applying contractual penalties. Previously calculated penalties will be annulled once the bill is paid.
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