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IN SHORT BUSINESS

Higher prices to cover SE costs

A STUDY produced by Delloitte & Touche has suggested that if the state continued to increase energy prices next year, it would be able to cover the costs stranded in power producer Slovenské elektrárne (SE).

Paying for the stranded costs would, in turn, facilitate the privatisation of the power company, according to Deputy Finance Minister Vladimír Tvaroška.

Based on an already approved plan, as of January 2004, households will pay Sk100 (€2.45) more for energy. It is now likely, however, that another hike will come later in the year to help the cabinet cover the stranded costs.

Slovak daily Pravda reported on November 15 that the energy prices for households could grow by another Sk80 (€1.96), while small business would pay Sk340 (€8.32) extra, and big firms about Sk34,000 (€831.92) more.

Delloitte & Touche suggested that the cabinet would thus collect about Sk76 billion (€1.86 billion) over the course of ten years.

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