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Charges for the use of electricity could become more expensive

Irrespective of the chosen electricity trader, each electricity user has to pay for the electricity transmission provided by the Distribution Network. Until now, 25 percent of the “Distribution Network” tariffs for customers were directly paid to the “High Voltage Network”.

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“If the new transmission tariffs are approved, the charges will increase even more. It is difficult to predict to what extent we will be able to accumulate it without creating additional costs for our customers, but at some point we will be forced to review our tariffs. Consequently, the opportunity provided by the Distribution Network’s ambitious modernization and efficiency program to reduce distribution service tariffs, which entered into force in January 2020 and benefited society as a whole, can be at least partially offset. In addition, the increase in costs for “Sadales tīkls” is the largest compared to other transmission system customers, “stressed Sandis Jansons, Chairman of the Board of JSC” Sadales tīkls “, to Neatkarīgā.

On the other hand, according to the calculations made by JSC Augstsprieguma tīkls, the impact of tariffs on consumers who are not directly connected to the transmission network will be insignificant and changes in the bill will be up to 1%. The changes in the transmission tariff would directly affect only those electricity consumers who are connected to the transmission network, while the vast majority of consumers, including households, could be affected by the changes after the distribution network companies have revised their tariffs, the High Voltage Network acknowledged.

According to S. Jansons, PUC’s recommendation to the Distribution Network to assess the required connection capacity in order to reduce its costs is not feasible for several reasons. In particular, electricity transmission infrastructure needs to be planned with a view to the future, as its construction is extremely costly and time-consuming. Replacing a transformer to switch to a lower or higher capacity means investing up to hundreds of thousands of euros and investing time in about a year from the creation and coordination of the project to the replacement of the transformer. Unlike distribution system customers who do not pay for connection capacity change and where the process is relatively simple and quick to implement, in the case of transmission system change of connection capacity means serious investments directly on the customer – “Distribution network” side, therefore they are planned by forecasting possible demand changes. years ahead.

We wanted to see the tariff plan of the “High Voltage Network” with a reduction of tariffs for the “Distribution Network” as well, so that the cost-effective maintenance of electricity infrastructure in the country is only on the shoulders of the “Distribution Network”. In addition, in the new “High Voltage Network” tariff plan, the biggest increase is in the “Distribution Network”. Our proposal would be to create a single transmission tariff for all customers of the “High Voltage Network”, so far this has not been taken into account, “said S. Jansons.

Independent has already written that Sadales tīkls has carried out large-scale optimization and efficiency projects in recent years. This allowed to reduce the variable part of the tariff for customers by an average of 8 percent from January 1 of this year, which, for example, meant a reduction of about 5.5 percent in the total electricity bill for the average household.

Today, the Saeima Commission for National Economy, Agrarian, Environmental and Regional Policy plans to review the impact of the electricity transmission system tariff project on the national economy.

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