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Wednesday 24.01.2018 | Name days: Krišs, Eglons, Ksenija
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Heating debts of Latvia's largest cities – LVL 18.7 million; municipalities – LVL 11.2 million

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Baltic news, News from Latvia, BNN.LV, BNN-NEWS.COM, BNN-NEWS.RUIncreased income of Latvia’s residents, upgrades to the central heating system’s energy efficiency and timely communication with residents who have debts for heating services has notably increased residents’ discipline and reduced the outstanding heating services debt. This was the conclusion of Economy Ministry after reviewing the latest information regarding Latvia’s heating service segment.

In spite of the surge of heating tariffs in 2012/2013 in comparison with that of 2011/2012, the discipline of residents’ payments for heating services has improved significantly. 94.5% of the debts that remain from the previous heating season have been paid in the largest cities of Latvia and 92.5% of those of municipalities, EM reports.

Reduction of heating tariffs is tied to municipalities’ and enterprises’ energy efficiency measures. Losses of heating energy around Latvia have reduced significantly over the past several years the years (18.7% in 2000 and 14.1% in 2012). This allows authorities to limit the growth of heating tariffs for residents.

Debts for heating services have reduced in a number of Latvia’s cities, including Jekabpils, Jurmala, Liepaja and Jelgava. Debts of Valmiera, Rezekne, Riga, Daugavpils and Ventspils have increased.

The ratio of debt volume per heating bill amount is said to have reduced in 57% of municipalities or units of regional territory. That of 43% of municipalities, however, is said to have increased in the past several years.

It is also noted that authorities tend to employ non-court related methods of collecting debts from residents. Authorities prefer compiling debt repayment schedules over lawsuits. According to officials, it is a much more effective and much less expensive method. On top of that, it is is not as time-consuming as court proceedings.

In 2012/2013 the number of lawsuits launched for forced debt collection had increased only in three cities of Latvia – Liepaja, Jelgava and Daugavpils. In all other cities there was a reduction in the number of such launched lawsuits. Jurmala has a good reputation in this regard – not a single lawsuit over the last four years. Authorities prefer to use other debt collection methods. Debt collection means that do not involve court proceedings are popular the most in Jurmala and Ventspils. The practice of compiling debt repayment schedules is popular the most in Riga and Jelgava.

The situation with the number of debtors in Latvia’s municipalities has not changed much in comparison with 2010, 2011 and 2012.

Ref: 102.109.109.9481


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