The heating of state institutions is limited, official firewood is coming
The government imposed a 25 percent reduction in gas consumption for state institutions and economic companies – Prime Minister Gergely Gulyás Gulyás in the Government Information on Thursday. The cabinet also announced a firewood and coal program, and new government bonds with a more favorable yield than those available on the market are also being issued. Index.hu’s report.
A government meeting was held again on Wednesday, and it is clear from Prime Minister Viktor Orbán’s position that it was a marathon. Thus, it was certain that a Government Information session would be held on Thursday. There were also plenty of authority topics: among others, the price cap, energy situation, war and sanctions.
Gergely Gulyás began by explaining Wednesday’s decisions and stated: There are gas supply problems in Europe, but there are none in Hungary. He announced that the government is starting to economize on gas consumption:
WITH THE EXCEPTION OF HOSPITALS AND RESIDENTIAL SOCIAL INSTITUTIONS, A 25 PERCENT GAS REDUCTION WAS PRESCRIBED FOR STATE BODIES AND THE INSTITUTIONS AND COMPANIES OPERATED BY THEM.
In order to alleviate energy difficulties, the government also announced a firewood and brown coal program. The minister in charge of the Prime Minister’s Office said: starting next week, firewood will be purchased directly from the forest farms, at the official price. The state forest farms provide 10 cubic meters to everyone at a maximum price. A state right of first refusal is introduced for lignite, and an export ban comes into effect.
In addition, the cabinet is developing a program to support energy-intensive small and medium-sized enterprises. In energy-intensive industries, a support program is being developed that allows them to continue their activities despite a decrease in profits.
Gergely Gulyás also revealed that there are negotiations with Brussels in three areas. Negotiations continued throughout the summer, and the Hungarian government granted the guarantee requested by the European Union. They expect that, in light of these, Hungary will make a favorable decision.
Finally, the minister also announced that a new government bond strategy is coming: the yield on some government bonds will be raised, and new government bonds will be issued, including one with an initial yield of 11 percent.
The price of district heating for residential consumers will not change
In response to a question, Gergely Gulyás stated that wrong news appeared in the press, and the price of district heating for residential consumers will not change either. They decided to provide apartments with a meter for all district heating, there are 130,000-140,000 apartments that do not have a meter, so there is a 24-filer charge, but this is covered by industrial consumers.
The government decided that public institutions cannot be heated above 18 degrees Celsius.
Local governments must also start making serious savings, said Gergely Gulyás. There cannot be a situation where basic services do not function in the event of municipal bankruptcy. The goal is for kindergartens and schools to function, if necessary, the cabinet will intervene, and if absolutely necessary, local governments can also take out loans.
As we report, several of our readers were surprised by the amount shown on the new utility bills. Gergely Gulyás explained: you can pay a flat rate based on previous consumption, or accept a new flat rate, or dictate from month to month as a monthly dictator. The minister said that MVM and all service providers use the reasonable procedure of having a characteristic curve and billing accordingly, because a significant part of our gas consumption is consumed in January.
According to Gergely Gulyás, MVM did not communicate properly, and the government called the company for this and apologized.
The price caps valid until the first of October will be decided at the next government meeting.
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