PUC has approved reduction of distribution service tariffs starting from 1 January 2020
November 28, 2019
On 27 November, the Public Utilities Commission (PUC) has approved reduction of the variable component of electricity distribution service tariffs by 8 % on average starting from 1 January 2020. The component for ensuring of connection (fixed fee) remains unchanged; therefore, the distribution service tariff is reduced by 5.5 % on average. The distribution service tariff is approved for the next 5 years – until 2024.
Reduction of distribution service tariffs is ensured by the operational efficiency improvement program started in 2017, which includes process improvement, reduction of staff and the number of vehicles and real estate bases.
Sadales tīkls AS is a subsidiary of Latvenergo AS, which maintains and develops the distribution network, providing electricity to more than one million customers, covering 99 % of the territory of Latvia. In 2018, the revenue of Sadales tīkls AS distribution service was 304.4 million EUR, EBITDA – 110.1 million EUR, assets – 1,659 million EUR.