Eurofound's EU PolicyWatch collates information on the responses of government and social partners to the COVID-19 crisis, the war in Ukraine, rising inflation, as well as gathering examples of company practices aimed at mitigating the social and economic impacts.
Factsheet for measure LV-2022-1/2416 – measures in Latvia
|Country||Latvia , applies nationwide|
|Time period||Temporary, 01 January 2022 – 30 April 2022|
|Type||Legislations or other statutory regulations|
Promoting the economic, labour market and social recovery
|Author||Kriss Karnitis (EPC) and Eurofound|
|Measure added||24 May 2022 (updated 20 June 2022)|
On 29 January 2022, the Law on Measures to Reduce the Extraordinary Rise in Energy Prices entered into force. It provides for four months, from 1 January 2022 to 30 April 2022, to provide various types of support measures to legal and natural persons to partially offset rising energy costs.
From 1 January to 30 April 2022, the electricity transmission system service fee and the mandatory procurement component (OIK) fee will be fully compensated from the state budget to all end-users.
The state will cover the difference up to the tariff approved by the Public Utilities Commission (PUC) (€68 per MWh) for heat supply customers - households with an extreme price increase. The law also provides for support measures for certain groups of the population:
The electricity transmission system service fee and the mandatory procurement component (OIK) fee compensation could cover around 860,000 electricity end-users. Full compensation to system operators over a four-month period will provisionally cost the state €63.5 million, while covering OIK costs €21.2 million.
The reduction of the heat supply service fee could be applied to approximately 78,500 households, according to the annotation of the draft law. The total amount of aid for the four-month period is €7 million.
The estimated number of beneficiaries for support of €50 per month for each child is 397,936, with a total disbursement of around €80 million. 553,000 people will receive senior support, which will cost a total of about €44 million.
|Does not apply to workers||Does not apply to businesses||Applies to all citizens|
Social partners' role in designing the measure and form of involvement:
|Trade unions||Employers' organisations|
|Form||Not applicable||Not applicable|
Social partners' role in the implementation, monitoring and assessment phase:
No specific involvement to report.
No specific views to report.
Eurofound (2022), Subsidies for citizens to reduce the rise in energy prices, measure LV-2022-1/2416 (measures in Latvia), EU PolicyWatch, Dublin, https://static.eurofound.europa.eu/covid19db/cases/LV-2022-1_2416.html
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Disclaimer: This information has not been subject to the full Eurofound evaluation, editorial and publication process.