Riga heating tariff could rise by up to 30% in December

Riga’s district heating tariff could increase by 20% to 30% in December as energy costs rise, the heat supplier Rīgas siltums told the Saeima’s Public Expenditure and Audit Committee on Wednesday, according to LSM. The heating season began in Riga this week, and 48% of the company’s customers are currently connected to the network.

The current tariff is 80 euros per megawatt-hour. Rīgas siltums said the gas exchange price had risen by about 142% since the tariff was calculated, from 33 to 80 euros per megawatt-hour, while biofuel prices had increased by 43%.

Rīgas siltums produces 31% of the heat supplied to Riga residents and buys the remaining 69% from other producers. Company board chairman Kalvis Kalniņš said it had made purchases and taken other measures to keep the tariff increase to no more than 30%.

Kalniņš said Riga’s dependence on natural gas had fallen from about 90% a decade ago to 60% today, but that the share remained too high. The company plans to expand biomass capacity and invest in electrification by 2030 to reduce its reliance on gas.

Outstanding heating bills in Riga total 5.3 million euros. Rīgas siltums described customers’ payment discipline as stable, with 97% of bills paid.