By approving amendments to the "Law on Support for Overcoming the Economic Consequences Caused by Sanctions and Countermeasures Applied due to Russia's Military Aggression against Ukraine", the Cabinet of Ministers decided at its meeting on 23 August this year that energy-intensive manufacturing companies will be compensated for the rise in energy resource prices experienced this year in the form of a grant for the period from 1 February 2022 to 31 December 2022. The amendments to the law must still be approved by the Saeima.

Support will be available to energy-intensive manufacturing companies whose economic activities have been affected by the consequences of the Russian invasion of Ukraine – namely, the increase in energy resource costs.

Minister of Economics Ilze Indriksone emphasises: “The manufacturing sector is most closely linked to other sectors of the national economy and is a vital factor for their growth. However, one of the most significant factors hindering more rapid development of local industry is the relatively high energy supply costs for our industrial companies, which are higher than in other countries in the Baltic States and the Nordic region as a whole. For industrial companies, electricity costs constitute a much more significant expense item in the production process than in other sectors.” (...)