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ELECTRICITY REGIONAL INITIATIVE. REGULATION UPDATE LATVIA Ivars Zariņš P ublic Utilities Commission Latvia Baltic ERI , 3 April 2007. KEY INDICATORS. Growth in Latvia in 200 6 versus 2005 GDP 11,9 % E lectricity demand 7,1 % N atural gas demand 3,5 % .
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ELECTRICITY REGIONAL INITIATIVE REGULATION UPDATE LATVIA Ivars Zariņš Public Utilities Commission Latvia Baltic ERI , 3 April 2007
KEY INDICATORS Growth in Latvia in 2006 versus 2005 GDP 11,9 % Electricity demand 7,1 % Natural gas demand 3,5 %
NEW INVESTMENTS Power generation • CHP with capacity 144 MWe has been commissioned in Riga, October 2005 • CHP with capacity 50 MWe in Riga, May 2006 • Plans to build CHP with capacity 400 MWe in Riga in 2008
ACTIVITIES Assessment of tariff proposals: • Cogeneration • Electricity - transmission and distribution services and sales • Natural Gas Licensing activities: • Electricity distribution • Electricity trading Active participation in design of: • Regulatory reform • New regulation on support to power production using renewable resources • New regulation on electricty trading
GAS TARIFFS Natural gas from May, 1 2007. LVL/ 1000m³ (heavy fuel oil in exchange FOB ARA, 6 m avr. 260 USD/t) increase > 0.5 th. m3 169.47 22.5% 0.5 – 25 th. m3 168.4822.7% 25 –126 th. m3 157.5431.6% 126 – 1260 th. m3 150.5831.0% 1260 – 12600 th. m3 144.6231.2% 12600 – 20 000 th. m3 140.1530.9% 20 000 – 100 000 th. m3 128.7130.9% < 100 000 th. m3 120.2731.4% Abonent fee – 0.65 LVL/month 1 LVL = 1.43 EUR
ELECTRICITY TARIFFS Avarage electricty price for captive customers from January 1, 2007 (LVL/KWh) previouspresent increase 0.4KV busbars 0.03544 0.0422319% 0.4KV lines 0.04663 0.05059 9% Inhabitant* 0.04500 0.0509913% *Incuding VAT
ELECTRICITY TARIFFS Avarage electricty price for captive customers from January 1, 2007 (LVL/KWh) previousepresentincrease 110 kV busbars 0.02077 0.03006 45% 110 KV lines 0.02077 0.0312751% 6-20KV busbars0.02528 0.0312324% 6-20KV lines 0.03166 0.0371317%
CHALANGES How to solve power shortage and find the proper balance among: security ? costs environment
THANK YOU FOR ATTENTION Web page of PUC : WWW.SPRK.GOV.LV