Czech ministry launches online calculator for energy subsidy

The Ministry of Industry and Trade has launched its promised web calculator, where households can calculate the approximate amount of the government subsidy for energy.

In conjunction with the calculator, the ministry also launched a new website where people can find not only details about an energy-saving tariff and tips on how they can save energy themselves.

The savings tariff was approved by the government last week. The average amount of energy support will be around CZK 15,000, of which households will receive around CZK 4,000 this year. The saving tariff is intended for households.

The total amount of aid combines a contribution through a cost-saving tariff and a waiver of the fee for renewable energy sources, which amounts to CZK 599 for each megawatt hour of electricity. The waiver of the fee for renewable resources applies not only to households but also to companies or organizations.

"In the calculator, you just need to select the electricity distribution rate, enter the consumption of electricity or gas according to the last bill and the heating method," Minister of Industry and Trade Jozef Síkela said. The calculator will show the approximate contribution amount for 2022 and 2023, as well as the amount for forgiven fees for renewable energy sources in the respective months.

"That way, everyone will see how much they will save this year and next year thanks to government assistance," Síkela added.

Minister of Labor and Social Affairs Marian Jurečka said that he keeps hearing that the government is inactive and not helping our citizens in the current crisis.

"We can clearly see from the specific numbers that this is not true. We allocated a total of CZK 177 billion to help citizens. Even according to the statistics of the independent European institution IFIs, the Czech Republic ranks fourth in the EU in terms of aid to citizens in relation to GDP," Jurečka said in a press release.

"But what I want to emphasize is that people should not be afraid to ask for help if they need it. We clearly see that the state can lend a helping hand to everyone if necessary," he added.

This October, all households that have a contract with an electricity supplier will receive help in the form of a contribution from the savings tariff in the amount of CZK 2,000 or CZK 3,500, depending on the tariff. Another aid that households receive from the state is the remission of fees for subsidized energy sources. Households will receive the second part of the aid from the savings tariff at the beginning of next year.

Síkela previously stated that the total amount of support with energy for the upcoming heating season will reach around CZK 11,000 for households with low consumption, around CZK 14,000 to CZK 15,000 for households with medium consumption, and up to around CZK 18,000 for households with the highest consumption.

Households will receive the second part of help with high energy prices through the savings tariff in February. The state contribution will take into account household consumption. In addition to the subsidy itself, the price for people will also be reduced by waiving the fee for renewable sources.

In response to the record high energy prices, there is now talk of other measures, for example setting a maximum price for electricity, including at the pan-European level.

Aid will be distributed according to consumption this year and next year. This year, it is governed only by electricity consumption.

Next year, the cost-saving tariff will be paid through individual commodities. For electricity, households will receive a contribution from CZK 400 to CZK 2,000, depending on the distribution rate. For gas, the contribution will range from CZK 200 for households with the lowest consumption to CZK 7,800 for households that consume the most gas.

In the case of heat supplies from domestic boilers, for the remaining part of the contribution for next year, it will be necessary for the customer, typically the community of apartment unit owners, to notify the gas distributor of the number of heated apartment units by Nov. 30, 2022.

Similarly in the case of heat supplies from the central heat supply. Here, the customer will have to notify the heat supplier of the number of heated residential units. Subsequently, the community of apartment unit owners will take into account this discount for apartment users. Data on the number of apartments is a necessary condition for receiving the allowance.

"Next year, the contribution from the savings tariff will be provided for individual commodities separately. We have set the amount of support to also take into account the fees for supported energy sources. Their remission will help more households with higher electricity consumption," Minister of Industry and Trade Síkela said.

The government should give roughly CZK 40 billion during the coming heating season to help households with high energy prices. In total, the government will set aside CZK 66 billion for energy assistance for households and companies.