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Uzbekistan 22/09/2024 Veolia Energy Tashkent: Tariffs for the population cover only 16% of base level

Veolia Energy Tashkent: Tariffs for the population cover only 16% of base level

Tashkent, Uzbekistan (UzDaily.com) — Veolia Energy Tashkent has commented on the increase in tariffs for heating and hot water supply.

On 12 September 2024, the Council of People’s Deputies of Tashkent approved a proposal to raise tariffs for the population and legal entities, excluding budget organizations, by 15%.

The company noted that one of the reasons for the increase was the rising costs of energy resources, such as gas and electricity, which are necessary for the production of heat and hot water.

According to Veolia, in 2023, electricity tariffs for enterprises significantly increased.

"To compensate for these additional expenses, we had to raise tariffs for budget organizations and other legal entities starting from 2 December 2023," the company reported.

However, tariffs for the population remained unchanged until the end of the 2023/2024 heating season. Veolia stated that from 2 April 2024, the tariff for the population was increased by 15%, which is lower than the rate of growth of energy resource prices. This was the first increase since 2019.

The company also emphasized its efforts to implement tariff increases gradually to avoid sharp price jumps.

Currently, tariffs for the population cover only 16% of the base level, and after the increase, they will cover 18%. The remaining costs are compensated by government subsidies.

Veolia Energy Tashkent highlighted that the decision of the Council is an interim measure, and its future depends on the approval by the mayor of Tashkent. The draft decision will be published on the portal www.regulation.gov.uz for public discussion for 15 days.

Once signed by the mayor, the decision will come into effect 15 days after publication.

The company indicated that the exact date of the tariff implementation will be communicated through official channels and the media.

"We understand that the tariff increase is a significant burden for citizens. However, Veolia, like many other companies, is affected by the rising prices of energy resources, which inevitably impacts the cost of services. We are doing everything possible to balance economic necessity with support for the population," the company emphasized.

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