In a political statement made to the Riigikogu, Kallas said that the whole of Europe and a considerable part of the world have been watching the energy prices with shock and disbelief since the autumn. “This shock has become a startling reality on the invoices of many Estonian people and entrepreneurs. It is all the more startling because only a few predicted such a price increase,” she said.
The prime minister confirmed that the government will not make the people of Estonia deal with this shock alone. “The state will help its people. Both now and in the long run. The worries of our people and entrepreneurs are the worries of the state,” she said.
Kallas pointed out that since October, the government has developed measures to help people and business consumers, the total cost of which is 245 million euros. Excise duty increases planned by the previous government have been cancelled, 50 per cent of electricity and 100 per cent of gas network tariffs have been reduced for all consumers, and a targeted measure has been taken to compensate 80 per cent of electricity, district heating, and gas price increases for households with up to median income. “At present, the Estonian programme to support household consumers and entrepreneurs is one of the largest, most long-term, and most extensive support programmes in Europe,” she said.
According to Kallas, the government wants the measure to mitigate the rise in energy prices to help a large number of people in Estonia, and therefore work will continue to offer relief to those who have been left out of the current measures.
At the same time, the government is looking for long-term solutions to reduce price shocks, ensure the operation of all Estonian production capacities, and boost the entry of new production capacities into the market. “It is important for me that we learn from this crisis and quickly implement solutions that will not allow the same thing to happen again in a year, two, or 10 years. Although there are no fast solutions in energetics, we will soon be back to square one if we do not make the big picture decisions,” said Kallas.
The prime minister added that in the 30 years since the restoration of our independence, Estonia has emerged from even more difficult situations, be it the withdrawal of Russian forces, joining the EU and NATO in a limited period of time, or a double-digit recession during the global financial crisis. “What makes the current situation unique is that we are facing both an energy crisis and a security crisis, culminating during the two-year exhausting health crisis. However, we will also overcome this. We have done it before by working together towards a common goal,” she said. “I am convinced that looking back in a few years, we will be able to say that Estonia emerged from this crisis stronger, more independent, and more sustainable.”
The full text of the political statement of the prime minister: https://valitsus.ee/uudised/peaminister-kaja-kallase-poliitiline-avaldus-elektrituru-olukorrast-18012022
Photos: https://flic.kr/s/aHBqjzz1K7
