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Tuesday 25.07.2017 | Name days: Jēkabs, Žaklīna
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LOSP: farmers worried about tax policy’s future

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Baltic news, News from Latvia, BNN.LV, BNN-NEWS.COM, BNN-NEWS.RUFarmers oppose Economy Ministry’s intention to reduce the unreasonable effect electrical energy’s mandatory procurement components have on large consumers and put it instead on small and medium-sized companies.

«This step would save the remaining large consumers, sure. But the majority of small and medium-sized companies would thereby be put on the brink of collapse. This includes farmers,» – BNN was informed by Farmers’ Organisation Co-operation Council.

On Wednesday, 25 January, a meeting was held by members of the council. This meeting was also attended by Agriculture Minister Janis Duklavs and Economy Minister Arvils Aseradens to discuss the future of the tax policy, energy policy and agriculture policy.

Farmers asked the minister to review the justification behind MPC support for cities thermal stations, including TEC 2, which are powered using gas procured from Russia and which create MPC payments above EUR 100 million annually.

«Benefits for all electricity consumers will appear only if the total MPC volume is reduced. It can be done by reducing MPC support for fossil fuel-powered CHP plants, because unsorted legislation has resulted in them classified as producers of renewable energy,» – LOSP representatives say.

«This is why we have offered EM to discuss energy-related matters with farmers by organizing meetings with representatives of delegations,» – members of the organization explain.

The meeting also discussed the matter regarding the future of the Common Agricultural Policy after 2020, which is very important for Latvian farmers and will definitely affect their activities in the future.

In February, the European Commission plans to commence three-month public consultations about the future of CAP. A document will be prepared before the end of the year to set the foundation for CAP’s direction after 2020.

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