The price of natural gas for households will increase by 15 per cent as of January 1, the government decided at a meeting on Wednesday.
The government allowed distributors to raise natural gas prices by 19 percent on average and adopted measures to cushion the price increase in order toensure a lower price for households.
Economy Minister Djuro Popijac explained that the price difference would besubsidised from the state budget, notably from increased mining revenue.
On December 17, the government increased the gas price for suppliers,notably the price at which distributors purchase natural gas from the nationaloil and gas company INA, from 1.32 kuna to 1.70 kuna per cubic metre.
The government today adopted a decision on natural gas supply tariffs,allowing distributors to increase prices of natural gas to an average 2.33 kunaper cubic metre.
Prime Minister Jadranka Kosor said that about 65 million kuna had been setaside in the budget to alleviate price increases.
