Business news

MINSK, 11 October (BelTA) – The Energy Ministry has announced plans to adjust electricity rates after the Belarusian nuclear power plant goes online. Energy Minister Vladimir Potupchik talked about the intended rates during the Belarusian Energy and Ecology Forum on 11 October, BelTA has learned.

At present industrial consumers pay 10.79 cents per 1 kWh. Belarusian households pay 5.49 cents per 1 kWh without VAT. It costs 6.81 cents to generate 1 kWh of electricity in Belarus.

There are plans to reduce electricity rates by 0.6 cents per 1 kWh for the entire real sector of the Belarusian economy in 2018. Electricity prices will be reduced even more than that for several consumer types with energy-hungry manufacturing processes.

Before the Belarusian nuclear power plant goes online, industrial consumers will pay 7.25 cents per 1 kWh. “It is an absolutely acceptable figure. It is commensurate with electricity rates in Western and Eastern Europe, Russia, and other partners in the Eurasian Economic Union,” believes Vladimir Potupchik.

The Energy Minister also pointed out that the prime cost of electricity generation will drop after the nuclear power plant is commissioned.

Asked about changes in electricity prices for Belarusian households in the next few years, Vladimir Potupchik explained that Belarusian households will pay electricity rates designed to recoup 100% of electricity generation costs. He pointed out that it is too early to specify the final figure Belarusians will pay after the nuclear power plant goes online. “I could specify the price if I had data about the exchange rate of the Belarusian ruble, the cost of natural gas, and other factors that affect the electricity rates. Things can change. Everything will depend on what processes will go on in economy and processes concerning the energy industry in particular. Everything has to be taken into account,” remarked the official.

Speaking about the cost of heating, Vladimir Potupchik mentioned that the rates will be lower than those in all the neighboring states. “It is predetermined by the state of the basic assets of the Belarusian power gird and the modernization we’ve accomplished,” explained the official. In Belarus it costs 225g of reference fuel to produce 1 kWh of electricity, while the figure in the other Eurasian Economic Union member states is 50% higher.