To the list of articles17 february 2016
Increasing utility tariffs: social aspects
Some time ago Belarusian households’ costs on utility service were one of the lowest in the region. Low tariffs for people were financed at the expense of budget and cross- subsidization. But now the necessity of utility subsidization is a heavy burden for the budget, and overvalued tariffs are the factor disrupting the competitiveness of domestic producers. Besides that, subsidization of utility tariffs for people is non-effective instrument of social policy whereas this subsidy has a regressive character. So at the beginning of February the government has announced plans to increase the level of costs compensation by utility tariffs.