The government is currently incentivizing households that have the infrastructure and ability to do so to use oil instead of natural gas. It will be cheaper if they are heated with oil than with natural gas this year, Prime Minister Kyriakos Mitsotakis said during the press conference at the 86th TIF, adding that there will also be support for those who use natural gas, something that will be specified in the coming days.

Earlier, the Prime Minister indicated that the government would intervene “at the pump” to reduce the price of heating oil and thus provide an incentive to use this fuel over natural gas.

Read also: PM’s tax announcements: Who will receive a double heating allowance, for whom and when the trade tax “freezes”

In parallel with this intervention, the heating allowance will be extended to 300 million euros, while there will be a subsidy on the price of natural gas which will be covered by the surplus profits of energy companies and the state.

The prime minister clarified that there will be an increase in the price of gas, but it will be “reasonable”, i.e. it will be much lower than the commercial price of natural gas

Earlier, he boldly announced a subsidy on the price of natural gas “both from the companies and from the state budget”. The goal of the intervention is a “relatively reasonable” price for natural gas, the price of which for consumers will be much lower than its commercial price.

Regarding the production of energy from lignite, to compensate for the high prices of natural gas, the Prime Minister commented that the opposition is hiding that the production of lignite has been declining for a decade and that many units are reaching the end of their lives.

He made it clear that the transition to the post-lignite era “is a one-way street as a long-term policy”, which is why the government has drawn up the “bold just transition program for areas heavily dependent on lignite.

Resorting, said the prime minister, to lignite for 1-2 years is a temporary measure and makes sense as long as natural gas prices are at their current outrageous levels. When, he added, prices are adjusted, even at higher levels than 2 years ago, the cost of lignite will be more expensive. He also added that the PPC Ptolemaida 5 unit will soon be inaugurated, giving the possibility of expanding the country’s energy mix.

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