Electricity rates rise due to problems in economy

• 9.04.2008, 12:21

Proposals on increase in utility rates by means of raising of energy rates for population have been prepared in Belarus.

As PRIME-TASS learnt from a source in bodies of state administration, “It is not yet known when the rates will be increased. The decision must be agreed with the government. It is not clear yet whether this variant will be adopted, taking into account that it will influence the inflation rate.”

At the same time he emphasised it would be difficult to find an alternative decision.

“It was supposed that utility rates wouldn’t be increased this year, because the limit of 5 dollars was established for the year. But this limit was reached yet in the first quarter of the year. It’s now necessary to raise utility costs again,” a source explained.

He emphasised that energy economy has faced the most serious problems. “This industry branch desperately needs financial resources to cover the expenses connected with increased natural gas costs,” the official said.

He also noted the government was preparing a decision on heating and electricity rates raising for industrial consumers.

Since 1 January natural gas rates for industrial consumers have been raised by 25.3 per cent, electricity and heating rates (including privileged consumers) by 0.9 and 1.36 per cent respectively.