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The Parliament of the Czech Republic approves a ceiling on the prices of electricity and gas

The Parliament of the Czech Republic approves a ceiling on the prices of electricity and gas

Sep. 20 () –

The Parliament of the Czech Republic has approved this Tuesday a reform of the legislation to impose a ceiling on the prices of electricity and gas as a measure to try to alleviate the economy of households and small businesses from November 1.

After being approved by Parliament, the Senate has validated the bill proposed by the Prime Minister’s Office, Petr Fiala, which limits the maximum price per kilowatt hour (kWh) to six crowns (0.24 euros). The new legislation will have to be signed by the Czech president, Milos Zeman, before entering into force, according to DPA.

Gas will have a maximum price of three crowns (0.12 euros) per kilowatt hour (kWh) which, added to the ceiling price of electricity, should have an impact so that the maximum price paid by households and companies per kilowatt hour ( kWh) is between 7 and 9 crowns (0.29 and 0.37 euros, respectively).

The State will assume the difference between the ceiling and the real price, which, according to the Czech Ministry of Finance, will amount to 130,000 million crowns (5,300 million euros), as reported by the newspaper ‘iDNES’ when the Government presented the proposal.

The Czech Republic is a net exporter of electricity thanks to its Temelin and Dukovany nuclear power plants, both in the south of the country. However, the country has been suffering from rising energy costs for months like the rest of the member countries of the European Union.

Some 70,000 people gathered in Wenceslas Square in Prague earlier this month, demanding the resignation of the Cabinet and the end of sanctions on Russia, imposed after Moscow attacked Ukraine, as recalled by DPA.

Many European countries are heavily dependent on gas from Russia, but Moscow has cut or severely cut supplies to several countries in retaliation for war-related sanctions. That has left many European governments scrambling to find alternatives, fearful of shortages in the coming winter.

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