Riga, Aug 28 (LETA) - The heating tariff of Rigas Siltums will increase by 11.9 percent to EUR 83.01 per megawatt-hour (MWh) from October 1, according to information published by the Economics Ministry.

The ministry also pointed out that the unadjusted heating energy tariff of Rigas Siltums will increase by 4.1 percent to EUR 80.96 per MWh from October 1. The Public Utilities Commission (SPRK) has approved the tariff.

According to the company, the heating tariff of Rigas Siltums initially submitted to the regulator with a contingency component of EUR 2.05 per MWh foresaw an increase of 21.5 percent - up to EUR 90.15 per MWh. Currently, the final heating tariff of Rigas Siltums with a contingency component of EUR 3.6 per MWh is EUR 74.17 per MWh.

The ministry explains that the lower increase in the tariff than initially planned was due to the purchase of heating from outside the market at a price lower than the approved heating production tariff, as well as the optimization of the heating market by fully switching to the daily market, which will ensure a lower purchase price for heating produced in biofuel thermal plants and maximize the use of residual heating.

Economics Minister Viktors Valainis (Greens/Farmers) pointed out that the fact that a lower increase in the heating tariff than initially planned has been achieved shows that a solution can be found if all parties are involved.

The Economics Ministry is a shareholder not only in Rigas Siltums, but also in Latvenergo, one of the independent suppliers of heating energy. "Therefore, by regularly sitting at the same table and jointly looking for ways to reduce the tariff increase, they have found them," said Valainis.

As reported, the turnover of the Rigas Siltums in the first half of the financial year from October 1, 2024, to March 31, 2025, was EUR 189.28 million, which is 12 percent less than in the same period a year earlier, while the group's profit increased by 31.7 percent and reached EUR 33.38 million.

Rigas Siltums is one of the main suppliers of heat energy in Riga. The company's capital is 49 percent owned by Riga City Council, 48.99 percent by the Latvian state, 2 percent by Energijas Risinajumi RIX, and Latvenergo holds 0.005 percent of the shares.