Background information

Increases in prices, volatile energy markets and supply uncertainties caused the government to adopt various measures to lessen social hardship and mitigate risks in energy supply.

The first set of interventions tackles increases in energy prices. The government extended lower value added and lower excise duty on energy products and issued new decrees that limit electricity and natural gas prices for households and small businesses.

The second set of measures addresses energy supply risks. Although there are already measures that support limiting energy consumption, the government continues to discuss and implement legislation that considers energy supply disruptions.

Content of measure

Following the increases in energy prices, the government adopted the following measures to prevent social hardship:

1. Electricity price cap for households and small businesses between 1 September 2022 and 31 August 2023;
2. Lower excise duty and lower value-added tax (9.5%) on energy products and electricity between 1 September 2022 and 31 May 2023 (except heating oil for now being);
3. Since 1 September 2022, a lower tax for the production of electricity from renewable energy sources and in high-efficiency cogeneration;
4. Cap on natural gas prices for households and small businesses between 1 September 2022 and 31 August 2023;
5. Mandatory alternate gas supplier to all those who would suddenly remain without a supplier.

Furthermore, the government addressed the risks in natural gas supply by issuing rules on frugal energy consumption in the public sector (a maximum cooling of 25°C; maximum heating of 20°C). The government website on energy crisis measures includes instructions and apps for calculating monthly electricity prices and natural gas prices . Internet tools provide consumers the ability to control increases in prices and compare various suppliers of electricity or natural gas.

Use of measure

In the press release (30 May 2023), the government claimed the average household saved between €110 and €334 on electricity and between €90 and €675 on natural gas annually. It is estimated that 2.2% of GDP will be spent on financial support for energy costs in 2022. In 2023, the total support allegedly will be 1.6% of GDP

Target groups

Workers	Businesses	Citizens
Does not apply to workers	SMEs	Applies to all citizens

Actors and funding

Actors	Funding
National government	National funds

Social partners

Social partners' role in designing the measure and form of involvement:

	Trade unions	Employers' organisations
Role	No involvement	No involvement
Form	Not applicable	Not applicable

Social partners' role in the implementation, monitoring and assessment phase:

• No involvement
• Main level of involvement: N/A

Involvement

The social partners were not involved in the design of measures.

Views and reactions

Employer organisations (Chamber of Commerce and Industry of Slovenia – GZS, Association of Employers Slovenia - ZDS, Slovenian Chamber of Commerce – TZS, Chamber of Craft and Small Businesses of Slovenia – OZS, Association of Employers in Craft and Small Business of Slovenia - ZDOPS) campaign for a general energy price cap on the European level. While the support for electricity and natural gas only applies to households and small businesses, employer organisations are campaigning to extend the measure to all companies notwithstanding their size.

No views are available from trade unions.

Sources

• 14 July 2022: Decree on the determination of electricity prices (Uredba o določitvi cen električne energije (www.pisrs.si)
• 21 July 2022: Decree on the determination of natural gas prices (Uredba o določitvi cen zemeljskega plina (www.uradni-list.si)
• 17 August 2022: Government RS, Measures to mitigate the effects of rising costs in the field of energy (Ukrepi za omilitev draginje na področju energetike (www.gov.si)
• 05 September 2022: The Chamber of Commerce and Industry of Slovenia (GZS), Meeting of economy and politics: businessmen expected more (Srečanje gospodarstva in politike: gospodarstveniki pričakovali več (www.gzs.si)
• 19 December 2022: Emergency Intervention to Address High Energy Prices Act (Zakon o nujnem posredovanju za obravnavo visokih cen energije, ZNPOVCE (www.uradni-list.si)
• 23 December 2022: Decree on determining the price of electricity for certain legal entities under public law (Uredba o določitvi cene električne energije za nekatere pravne osebe javnega prava (www.pisrs.si)
• 30 December 2022: Decree on fixing the electricity price for micro, small and medium-sized enterprises (Uredba o določitvi cene električne energije za mikro, mala in srednja podjetja (www.uradni-list.si)
• 17 April 2023: Decree on setting gas prices from the supply system (Uredba o določitvi cen zemeljskega plina iz plinskega sistema), Official Gazette, No. 45/202 (www.uradni-list.si)
• 17 April 2023: Decree on the determination of electricity prices (Uredba o določitvi cen električne energije), Official Gazette, No. 45/202 (www.uradni-list.si)
• 17 April 2023: Decree on fixing the electricity price for micro, small and medium-sized enterprises (Uredba o določitvi cene električne energije za mikro, mala in srednja podjetja), Official Gazette, No. 45/202 (www.uradni-list.si)
• 30 May 2023: The government of RS, The reduced VAT expires (Ukrep znižane stopnje davka na dodano vrednost se izteka (www.gov.si)