Excise boosting power prices

Alan Heath
17-12-2001, 00:00

Energy watchdog, Urząd Regulacji Energetyki, believes that excise duty on electricity could result in power prices increasing by as much as ten percent.

Analysts further believe that the 2gr per 1kWh burden could not only cause a reduction in energy use but also cause bankruptcies in those sectors which use a lot of electricity such as metals producers.

The extra excise is also coming at a time when local taxation will increase which will largely effect the distribution companies and the national grid PSE. PSE is hoping to push through a 15 percent increase adding to the ten percent that the excise could cost.

Parliamentary procedure could mean that the tax is delayed until February. But irrespective of the damage that it will cause heavy industry, the government has no intention whatsoever of cancelling its plans.

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Podpis: Alan Heath

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