Political parties composing the government in Latvia have reached a conceptual agreement on a support package for residents and entrepreneurs to help compensate the growing energy prices, as confirmed by Latvian Prime Minister Krišjānis Kariņš’s press-secretary Sandris Sabajevs.
He says the new support package reaches EUR 250 million. The final decision on the support package is planned to be made at a government meeting on Tuesday, 25 January.
Partners of the coalition agreed that support will be provided for a period of four months – until May 2022.
Certain forms of support, such as the increased housing benefit, will continue to be provided until the end of the year.
With short-term support the state intends to fully compensate the electricity transmission tariff and mandatory procurement component (MPC) costs. A monthly benefit of EUR 50 per each child in a family, including ones 24 years of age continuing studies will be introduced. A new EUR 20 monthly benefit will be introduced for all seniors and invalids regardless of whether or not they are vaccinated.
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The coalition also agreed to extend the payment of the housing benefit until the end of 2022, as well as helping compensate the extreme heating and gas heating price rise to households.
For the medium-term support the government will prepare and present to the government a support programme for households to transition from fossil fuels, such as natural gas, to sustainable heating forms and micro-generation output (solar panels, for example). At the same time, in a month the government plans to submit a report to help ease access to renewable energy production facilities and equipment.
Ruling coalition in Latvia agrees on additional support for residents to compensate energy price surge
