Greece, Cost of energy bill subsidies for September will reach 1.9 billion euros

, SEE Energy News

Greek Minister of Energy Kostas Skrekas said that the cost of energy bill subsidies for September will reach 1.9 billion euros.

The new subsidies will come at 639 euros/MWh for households to absorb 94 % of the rise in their electricity bills. The aid will be reach 604 euros/ MWh for small and medium-sized enterprises and 639 euros/MWh for farmers, while large companies will get 342 euros/MWh in subsidies.

Some 900 million euros of the subsidy package for September will be covered through the state budget, while the remainder will hail from the Energy Transition Fund, which gathers CO2 emission right auction revenues, RES special account surpluses and windfall profit taxes imposed on electricity producers.

The Government has spent about 8 billion euros in energy subsidies and other measures since last September to help households, businesses and farmers pay their electricity and gas bills.

Greece has imposed a cap on payments to electricity producers to reflect their real production costs, effectively scrapping a surcharge on electricity bills, with proceeds earmarked to help it finance energy subsidies.