Shock from rising heating costs may be mitigated by benefits - Minister

Photo: LETA

As the most realistic solution for supporting the population amid rising heating costs, a housing benefit is currently being considered, said Minister of Economics Viktor Valainis (SCP), commenting on his proposal to convene an extraordinary meeting of the State Crisis Center for Energy (SCCE) to address the issue of rising expenses due to the cold.

Valainis emphasized that active work is underway to find solutions: four official meetings have taken place in various formats between the ministries and the Latvian Association of Local Governments. Currently, data is being collected, and by the end of this week, a significant number of local governments will provide information about the situation on the ground.

The minister explained that the previous mechanisms of state support are triggered by rising tariffs; however, in the current situation, the problem is related to the increase in consumption, for which the existing regulatory support mechanisms are not designed.

Based on the data received, it is planned to begin preparing draft solutions this week, which, depending on the situation, will be submitted for consideration at a meeting of the crisis center or at a meeting of the responsible ministries, and then presented to the government in the form of a report. Currently, the most realistic solution being considered is a housing benefit paid by local governments with the participation of the state. The minister noted that the benefit is intended not only for low-income individuals but also for a broad segment of the population.

At the same time, Valainis noted that local governments currently do not have the resources to provide support within the existing budget. He also emphasized that assistance should be targeted, rather than general, so that it reaches those residents and entrepreneurs who need it most.

When asked whether the issue of support would remain only at the level of promises and how people could be assured of this, Valainis responded that support is planned to be provided for both January and February, and the ministry will send the necessary decisions to the government for consideration.

The government did not raise any arguments against this idea, the minister noted, emphasizing that providing targeted support in such situations is the government's responsibility.