LJUBLJANA, Feb. 13 (Xinhua) -- Slovenian households will remain exempt from paying a special tax on electricity intended to promote renewable energy sources until the end of June, the Slovenian government decided on Thursday, aiming to ease the burden of high electricity costs on consumers.
With several levels, the tax averages to about 1.6 euros (1.68 U.S. dollars) per kilowatt of electricity.
"In this way, the government will ease the transition from a regulated system of electricity price to a market-based one," the government stated after its regular session.
Since 2022, the government has limited household electricity prices by lowering taxes and establishing a maximum price. However, it did not extend the cap, which was set in November at a fixed rate of 77 euros per megawatt hour and is set to expire at the end of February.
Several companies in Slovenia have been attributing their loss of competitiveness to high electricity prices. The government had indicated it would design a scheme to ease the burden on businesses but has not yet done so.
According to a government forecast, Slovenia's average inflation could rise to 3.3 percent in 2025 from 2 percent in 2024, partly due to higher electricity prices. (1 euro = 1.05 U.S. dollar)
