Factsheet for measure
GR-2021-36/2379
–
Updated
– measures in Greece
Electricity subsidy for consumers
Epidotisi ilektrikis energias katanloton apo tin kivernisi (Επιδότηση ηλεκτρικής ενέργειας καταναλωτών από την κυβέρνηση
Background information
One of the most important consequences of the international crisis caused by the pandemic and the war in Ukraine is the increase in the price of energy, which has disproportionately burdened family budgets.
In this context, the Greek government has taken measures to subsidize the electricity of domestic consumers and consumers of special tariffs (CTO - social residential tariff and TIA - Solidarity Services’ Tariff). A series of Joint Ministerial Decisions (KYA) of the Ministers of Finance and Energy provided for the financing of electricity for the period from September 2021 to March 2022, which are detailed.
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Decision No 109471/1763 on 18 November 2021, for the period September to December 2021.
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Decision No 12468/434 on nine February 2022 and JMD No 23632/859 on 10 March 2022, for the period From January to March 2022.
The measure was extended by newer Ministerial Decisions for April and May 2022.
Content of measure
Regarding the period from September to December 2021, the electricity subsidy is granted to all the beneficiaries for the consumption of the first 300 MWh of each month as follows:
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Residential consumers, with variable tariffs, are subsidized €30 for September, €60 for October, €130 for November and December per consumed MWh.
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Beneficiaries of CTO and TIA with variable tariffs are subsidized with €30 per MWh for September, €80 for October, €150 for November and December.
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Consumers without price readjustment clauses are subsidized with €20 per MWh for each month.
For the period from January to March 2022 the following apply:
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Residential consumers, with variable tariffs, are subsidized in January for the first 150 MWh of the month with €160 per MWh and for the next 150 MWh with €120. For the months February and March for the first 150 MWh with €150 per MWh and for the next 150 MWh with €110 per MWh.
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Beneficiaries of CTO are subsidized with €180 per MWh for the first 300 MWh and €170 for the first 300 MWh for the months of February and March.
The subsidy is deducted from the electricity bill.
Updates
The following updates to this measure have been made after it came into effect.
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10 August 2022
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On 10 August 2022, the Greek government issued a Joint Ministerial Decision (KYA) No 82559/2774 (FEK Β 4248), extending the electricity subsidy for the consumers regarding the month of July as follows:
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Residential consumers, having variable tariffs, are subsidized with €200 per MWh regardless of the level of the consumption.
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Beneficiaries of CTO are subsidized with €240 per MWh regardless of the level of the consumption.
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01 July 2022
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On 1 July 2022, the Greek government issued a Joint Ministerial Decision (KYA) No 67077/2333 (FEK Β 3375), extending the electricity subsidy for the consumers regarding the month of June as follows:
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Residential consumers, having variable tariffs, are subsidized with €185 for the cost of the first 150 MWh of April and with €140 for the consumption of the next 150 MWh. Beyond this level, the subsidy is confined to the €100 per MWh.
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Beneficiaries of CTO are subsidized with €195 per MWh regardless of the level of the consumption.
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02 June 2022
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On 2 June 2022, the Greek government issued a Joint Ministerial Decision (KYA) No 55625/1962 (FEK B2759), extending the electricity subsidy for the consumers regarding the month of May as follows:
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Residential consumers, having variable tariffs, are subsidized with €205 for the cost of the first 150 MWh of April and with €160 for the consumption of the next 150 MWh. Beyond this level, the subsidy is confined to the €100 per MWh.
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Beneficiaries of CTO are subsidized with €215 per MWh regardless of the level of the consumption.
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07 April 2022
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On 7 April 2022, the Greek government issued a Joint Ministerial Decision (KYA) No 32752/1241 (FEK Β 1670), extending the electricity subsidy for the consumers regarding the month of April as follows:
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Residential consumers, having variable tariffs, are subsidized with €270 for the cost of the first 150 MWh of April and with €210 for the consumption of the next 150 MWh.
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Beneficiaries of CTO are subsidized with €290 per MWh regardless of the level of the consumption.
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Use of measure
According to the Minister of Environment and Energy, the state subsidy of electricity for households in February 2022 amounts about to €150 million and concerns all the energy supplies of the main residence, approximately 4.2 million supplies.
On 25 July 2022, the Minister of Energy announced the extension of the subsidy on electricity bills for August 2022 for households. The subsidy for main and non-main residences amounts to €337 per MWh for the entire monthly consumption and regardless income criteria. Due to this measure, the subsidy covered 90% of the increase in electricity. For the beneficiaries of CTO (having a special social electricity tariff), the subsidy amounts to €377 per MWh and covers almost the 100% of the increase.
On 23 August 2022, the Minister of Energy announced the extension of the subsidy on electricity bills for September 2022 for households. The subsidy for main and non-main residences amounts to €639 per MWh for the entire monthly consumption and regardless income criteria. Due to this measure, the 94% of the increase in electricity is covered by the subsidy. For the beneficiaries of CTO (having a special social electricity tariff), the subsidy amounts to €677 per MWh and covers almost the 100% of the increase. The measure covers approximately six million households and the total amount of the subsidy for September amounts to €748 million.
Target groups
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Workers
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Businesses
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Citizens
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Does not apply to workers
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Does not apply to businesses
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Applies to all citizens
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Actors and funding
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Actors
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Funding
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National government
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National funds
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Social partners
Social partners' role in
designing the measure
and form of involvement:
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Trade unions
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Employers' organisations
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Role
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No involvement
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No involvement
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Form
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Not applicable
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Not applicable
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Social partners' role in the
implementation, monitoring and assessment phase:
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No involvement
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Main level of involvement: N/A
Involvement
There was no involvement of social partners.
Views and reactions
There were no social partner's reactions to the measure detected.
Sources
