URSO: Slovakia Lags Behind in Support for its Energy-intensive Companies (2)

Bratislava, 5 February (TASR) – Slovakia could provide stronger support to energy-intensive companies, which are a key part of the national economy, chair of the Regulatory Authority for Network Industries (URSO) Jozef Holjencik declared on Thursday. Under the current state of affairs, Slovak firms pay significantly more for electricity than their competitors in Western Europe. State support is therefore essential, added Holjencik. URSO has prepared an analysis of options to support energy-intensive companies and industry as a whole in Slovakia's environment. The document provides an up-to-date overview of support systems in selected EU member states and identifies forms of assistance compatible with Slovak legislation and European Commission state aid rules. "The sharp rise in energy prices on the EU internal market, where Slovak energy-intensive companies also have to purchase electricity at higher prices than their Western European competitors, significantly worsens their competitiveness. State support is therefore indispensable," the URSO chair warned. "Unfortunately, Slovakia has long been significantly lagging behind several EU member states in adopting measures. Effective solutions require coordination by the Slovak government and cooperation between ministries of economy, finance, environment and URSO," Holjencik added. The URSO analysis includes a detailed overview of measures that are currently realistically achievable. The analysis also assesses options such as state guarantees, support for large gas consumers and the decoupling of electricity prices from gas prices. In addition, the proposals also include preferential treatment for investments in energy efficiency and the maximum use of indirect carbon dioxide compensation. NOTE: This story has been extended to include the final two paragraphs mf