Lithuania keeps electricity 4 cents cheaper for vulnerable consumers in the first half of 2027 too

Vulnerable consumers in Lithuania will continue to pay less for electricity. On Wednesday, 28 October, the government approved the Energy Ministry's proposal that the 4 cents/kWh reduction, including VAT, against the standard public tariff also apply from 1 January to 30 June 2027, news agencies BNS and ELTA reported, as carried by public broadcaster LRT.

What was decided. The part of the reduction covered by windfall revenue collected from electricity producers rises from 1.8 to 2.5 cents/kWh, excluding VAT. The difference up to 4 cents is borne by Ignitis, the public supplier that holds a long-term electricity purchase contract, according to ministry adviser Artūras Ketlerius.

The figures. The fund built from producers' windfall revenue during the 2022–2023 price crisis totals about €14.255 million, including interest. The first half of 2027 requires about €4.237 million, roughly 30% of the fund, and the whole of 2027 about €8.475 million. The number of vulnerable consumers in public supply rose this year from 123,000 to more than 282,000 and could reach about 307,000 in 2027. An average vulnerable consumer uses about 1,100 kWh a year, which according to the ministry means savings of about €22 excluding VAT per half-year. Since July, standard households have paid 24 cents/kWh and vulnerable ones 20 cents.

Context. “We are increasing the state's contribution so we can keep a lower tariff for more people,” said Energy Minister Lukas Savickas. The ministry attributes the rise in beneficiaries to legislative changes that allowed more consumers to return to public supply; the Seimas extended the option to buy electricity at a regulated price until 2030.

What comes next. The National Energy Regulatory Council (VERT) must set the final public-supply price for the first half of 2027 by the end of November. According to the ministry, the fund could last until mid-2028, a preliminary estimate that depends on the number of vulnerable consumers.

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