Let us save clean environment for future generations
About us
KHPP-generated Heat is Getting Cheaper
2010-11-30
From the next year the city residents can expect good news – the price of heat, generated by Kaunas Heat and Power Plant (KHPP) is likely to decrease from 14.08 to 13.22 cents per kilowatt-hour.
The new price was established by the National Control Commission for Prices and Energy. However, it may be changed still in case it will seem unacceptable to the producers.
“Natural gas prices are one of the essential factors predetermining the heat production price. As the gas price calculation formula is associated with the fluctuation of the U.S. dollar exchange rate, the cheaper dollar affects also the price of heat. This bears high relevance to the consumers during the heating season”, said Robertas Bauba, the Head of “Energijos sistemų servisas” (“Energy Systems Service”) that provides operator services to KHPP.
The final heat price for consumers is established by Kauno energija, controlled by Kaunas City Municipality. It supplies heat to Kaunas consumers. Kauno energija purchases from KHPP almost 96 % of heat required to the city of Kaunas. Therefore, should the price of the purchased natural gas and U.S. dollar exchange rate remain unchanged, from January 2011 the price of district heat supply will be likely to get cheaper to the residents of Kaunas city too. It would be the second time this year when the KHPP-generated heat is getting cheaper. Previously, the heat price was reduced by 6 % from the 1st of November and reached 14.08 cents per kilowatt-hour.
Pursuant to the statistics of the National Control Commission for Prices and Energy, current heat price for Kaunas consumers is lower than for other inhabitants of sixteen Lithuanian cities.
During the period 2003-2008 KHPP applied the lowest heat production price in Lithuania according to its obligations undertaken under investment agreements. However, from 2009, upon the enforcement of the Law on Heat Sector, the heat price is established by the Commission for Prices. Then the heat price witnessed an increase by two thirds to Kaunas residents.
© Kauno diena