Opposition: Consumers should be compensated for soaring energy prices
Opposition parties say consumers should be compensated for soaring electricity prices, while the government argues the situation does not constitute a crisis.
"People need support today and there are examples from other countries. We see how Lithuania and Finland are supporting their people. Why is our government not reacting promptly?" said Mihhail Kõlvart, chair of the Center Party.
Isamaa leader Urmas Reinsalu argued that, given the state is collecting significant additional revenue due to the VAT increase and other new fees introduced on January 1, it would make sense to return at least that amount to consumers.
The Social Democrats suggested that local governments could compensate vulnerable groups for high electricity prices.
"At the national level, intervention is needed to advance renewable energy projects — more wind farms are needed so we can actually offer consumers lower prices," said Jevgeni Ossinovski, deputy chair of the Social Democratic Party.
Minister of Energy and Climate Andres Sutt (Reform Party) said there is no energy crisis and that the average electricity price this January is comparable to February of last year.
"We have to accept that it's been a cold winter and as a result, both prices and consumption have gone up," Sutt said. "But the most important thing is to continue investing in clean energy. The most reliable and economically efficient option is onshore wind farms. A tender for this has been prepared."
Conservative parties disagree, however, as both Isamaa and EKRE emphasized the need to push for the termination of the EU Emissions Trading System and to expand dispatchable electricity production capacity in Estonia.
"No energy source should be ruled out, whether biomass or oil shale. We must develop with the understanding that we need to ensure energy security and must have controllable capacity to meet peak demand," Reinsalu said.
EKRE also supports continued use of oil shale. Rain Epler, a member of the Riigikogu from EKRE, said wind and solar energy are not necessarily cheaper in Estonia than oil shale-based electricity as major investments are needed to connect them to the grid.
"Environmental fees, mining fees, deposit fees and so on — oil shale has been made artificially expensive. If we didn't artificially drive up the cost, it would be a very affordable way to produce electricity," Epler said.
Negotiations over the emissions trading system are scheduled for the first half of this year. "We will definitely examine which parameters can be influenced, who our allies are and how to achieve a situation where the CO₂ quota price becomes more stable," Sutt said.
Many consumers, especially those who opted for energy contracts based on the market price of electricity and gas, were hit with sky-high electricity bills in January as cold and windless weather coupled with record consumption drove up the cost.
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Editor: Marcus Turovski, Valner Väino
