RIGA, Sept 26 (LETA) - Rigas Siltums heating utility will raise heating tariffs for Riga residents twofold effective October, from EUR 85.45 per megawatt hour (MWh) to EUR 170.59 per MWh, according to the Public Utilities Commission's decision printed in the government gazette Latvijas Vestnesis today.

Heat generation component of the heating tariff will increase 2.2 times, from EUR 63.86 per MWh to EUR 139.13 per MWh, thermal energy transmission and distribution component will rise by 51 percent, from EUR 19.31 per MWh to EUR 29.18 per MWh, while heating trade component will remain unchanged at EUR 1.48 per MWh.

Together with excise tax on natural gas of EUR 0.29 per MWh and unanticipated costs component of EUR 0.51 per MWh, the final heating tariff will be EUR 170.59 per MWh.

As reported, half of the price hike over EUR 68 per MWh will be compensated by state support to households.

Rigas Siltums previously said that, taking into account state compensation, the final heating tariff for households would increase from EUR 85.45 to EUR 119.3 per MWh.

Of all the heating energy consumed by Riga, Rigas Siltums generates 30 percent, and 70 percent are bought from independent producers. The most significant producer is Latvenergo, which has confirmed the tariffs for its thermal power plants - TEC-1 and TEC-2 - at EUR 185-190 per MWh.

According to Firmas.lv, Rigas Siltums last year generated EUR 146.45 million in turnover and earned EUR 5.4 million in profit. Rigas Siltums shareholders include the Riga City Council - 49 percent of shares, the state of Latvia - 48.995 percent, Energijas Risinajumi. RIX - 2 percent, and Latvenergo - 0.005 percent.