Let us save clean environment for future generations
Press center
The Kaunas Heat and Power Plant Submitted the Heat Price for Consideration
2008-02-10
The long lasting dispute between the State Commission of Price and Energy Control (SCPEC) and the Kaunas Heat and Power Plant (KHPP) is finally settled. The Company will no longer oppose the regulation of heat price and has already submitted the price of produced heat for confirmation to the Commission.
Antanas Pranculis, KHPP Director General, reported that upon assessment of the situation in fuel market, as well as increased expenditure of production and other factors affecting heat energy price, KHPP asked to fix the price of 16.31 cents per kilowatt-hour.
According to A.Pranculis, in the meeting of the shareholders of the Russian gas concern GAZPROM, which controls KHPP, it was decided that next year the Kaunas Company will purchase natural gas under the same terms as other suppliers of Lithuania. Appreciating the heavy burden of big heat price for consumers, KHPP asks the Commission to apply the purchase-at-the Lithuanian-border- price for natural gas in the calculations of basic heat price, the former being less by 10 per cent than that of market.
’The present trends in fuel market are a matter of great headache. Our enterprise will make all possible efforts to purchase gas at a possibly smallest price and to keep the produced heat one of the cheapest in Lithuania,’ underlined A.Pranculis.
In 2003 KHPP and the enterprise KAUNO ENERGIJA, controlled by the Kaunas City Municipality, drew the contract on purchase-sale of heat energy. It provided for that in first five years of the contract the heat price would not change virtually and later on it should be recalculated according to the formula.
KHPP met the undertaken commitments not to increase the price for heat, thus creating the conditions for the Kaunas inhabitants to relish cheaper heat. Presently the price of heat named by KHPP is considerably cheaper than that to be fixed by the contract in force with KAUNO ENERGIJA.
According to the Director General of KHPP, the Company is further going to produce cheaper heat than heat supplying enterprises of other big cities; however, the difference will be smaller.
KHPP cherishes a hope that SCPEC will confirm the new heat price in the short run.