New support package for electricity-gas bills 350 million euros

LAST UPDATE: 10.50

By Harry Floudopoulos

For the 6th consecutive month, the government measures to support households and businesses from the unprecedented energy crisis continue, as announced today by the competent Minister of Environment and Energy, K. Skrekas. For the month of February alone, as he said, the support measures for electricity and gas amount to 350 million euros and include:

Subsidy for electricity bills applicable to all main residences as declared in E1 a total of 4.2 million benefits. The aid is 150 euros / megawatt hour for the first 150 kilowatt hours and 110 euros for consumption from 151 to 300 kilowatt hours. The average boost up to 300 kilowatt hours will be at 39 euros. For the beneficiaries of the Social Household Tariff, the subsidy is 170 euros per megawatt hour for the first 300 kilowatt hours, ie the monthly aid is 51 euros. The total value of the household subsidy amounts to 150 million euros

For non-household customers (farmers, professionals, etc.) who have floating tariffs, the unit price of the subsidy is 65 euros per megawatt hour. The total amount of aid amounts to 133 million euros while at the same time the suspension of payment of SGIs for the average trend is valid until March.

For Natural Gas, the state subsidy is for February at 20 euros per megawatt hour of heat for all households and for total consumption. At the same time, DEPA Marketing will proceed with an additional discount of 20 euros per megawatt hour, while other companies will be asked to do the same. The total amount of aid reaches 40 euros per megawatt hour with the total amount of aid reaching 47 million euros.

For non-household tariffs, the subsidy of the accounts continues in February, regardless of the size of the turnover and the number of employees, with the amount reaching 20 euros per thermal megawatt hour. This aid amounts to EUR 20 million.

Finally, Mr. Skrekas referred to the savings actions that are underway in order to achieve a permanent reduction in consumption.

Thus, the program for the replacement of air conditioners and refrigerators was announced, which will lead to a reduction of up to 30% of consumption. At the same time, the new savings is in progress, to which more than 80 thousand applications have been submitted. For the smooth completion of the process, as announced by Mr. Skrekas, the operation of the expression of interest platform will be extended until March 15.

It is a commitment of the government that for as long as the crisis lasts, the government will subsidize households and businesses, concluded Mr. Skrekas.

In detail, Mr. Skrekas stated:

“For the sixth consecutive month, the government, implementing the commitment of Prime Minister Kyriakos Mitsotakis, supports the Greek family and businesses from the effects of this unprecedented energy crisis that continues to hit Europe.

For another month, rising energy costs threaten household and business budgets, creating a highly volatile environment for the economy. These conditions, even in the middle of winter, lead us again to take new measures to support society in February.

We evaluate on a monthly basis the fluctuations of energy prices in international markets and adjust the amount of the subsidy accordingly.
In December 2021 the wholesale price of electricity amounted to 235 euros / MWh, in January it decreased to 227 euros while in the first days of February the price continues to slightly de-escalate to 221.5 euros / MWh, however it remains almost 4 times more expensive than average price of 2020.

The price of natural gas in December amounted to 116 euros / MWh, while in January it fell to 84.5 euros / MWh. Despite the de-escalation, the price remains significantly higher, almost 5 times higher, compared to a year ago.
Never before have such high gas prices been recorded. This is one of the main causes of the unprecedented energy crisis that is still raging.

Recently, extremely high prices have been recorded in oil as well. Brent is priced at $ 92.2 a barrel. We have been seeing similar levels of oil prices since October 2014.

Since last September, we have allocated € 1.7 billion to support society from high energy prices. With the measures we announce today, the total amount of Government interventions exceeds 2 billion euros. No other European country has taken such drastic measures to protect consumers in proportion to our population and the size of our economy.

And as we are committed, we will continue to support households and businesses for as long as needed.

Electricity – Subsidy on Household Invoices – Households

And in February, the subsidy will cover all main home benefits, as stated in E1 (approximately 4.2 million benefits), regardless of income, home area or provider.
For the first 150 kWh consumption per month we subsidize with 150 euros per MWh.
For the monthly consumption of 151 – 300 kWh consumption we subsidize with 110 euros per MWh.
So the average monthly aid for an average household consuming up to 300 kWh / month is 39 euros in February.
In households that are included in the Social Household Tariff (CTO), the subsidy will amount to 170 euros per MWh for the first 300 kWh of monthly consumption.
So, the average monthly aid for the CTO is 51 euros.

The total value of the subsidy for households in February amounts to 150 million euros.

Electricity – Subsidy to Non-Household Invoices, ie in agricultural, commercial, industrial, professional, other uses etc.

For business consumers, who are contracted on floating electricity tariffs, the unit price of the subsidy remains at 65 euros / MWh.

The total business subsidy measure for February is estimated at 133m euros.

We remind you that from November 2021 to March 2022, the suspension of the payment of Utility Services (SGI) for the support of companies connected to the Medium Voltage also applies.

Natural Gas – Subsidy on Household Invoices – Households

The state subsidy in February will amount to 20 euros per thermal MWh for all households and for the total monthly consumption.
It concerns 540,000 household consumers regardless of income, size of home or provider.

At the same time, DEPA Emporia will continue to offer a discount of 20 euros per thermal MWh, for the entire monthly consumption to its customers and We will ask in cooperation with it to do the same for the other providers.

In total, the benefit for households amounts to 40 euros per thermal MWh in February.

The total amount of the subsidy from the Government and DEPA for domestic gas consumers will amount to 47 million euros for February.

Natural Gas – Subsidy on NON-Household (Commercial-Industrial) Invoices

We continue to subsidize Gas bills in February to all commercial and industrial consumers regardless of size, turnover and number of employees

The subsidy will amount to 20 euros per thermal MWh for all providers and for the total monthly consumption.

The total amount of gas subsidy to companies by the Government will amount to 20 million euros this month.

For February, we are taking measures to support all households and professionals in the face of the unprecedented energy crisis, which totals 350 million euros and concerns both electricity and gas.

The resources come from the revenues of the rights auctions as well as from the surplus of the Special Account for Renewable Energy Sources, since the production of electricity from the sun and wind today is comparatively cheaper than the production of electricity from natural gas or lignite.

But beyond the direct subsidies, the Government proceeds with energy saving actions that reduce consumption on a permanent basis and therefore the bill. A few days ago we announced the program to replace air conditioners and refrigerators, which can lead to a reduction in consumption of more than 30% for a household. At the same time, the new “I save” period has started, on the electronic platform of which more than 80,000 households have submitted applications. To facilitate the submission of applications, due to the exceptional circumstances that prevailed in the first month of the program, we extend the operation of the platform until March 15.

“With the new package we are announcing today, we reaffirm the Government’s commitment that for as long as this unprecedented energy crisis lasts, we will support both households and businesses.”