Stockholm August 18, 2008 : The Swedish government has revealed an initiative to help subsidise the cost of electricity for both households and businesses to ease the burden of rising energy costs. Companies and households will be paid with at 30 billion Swedish crowns ($2 billion) the Premier Magdalena Andersson announced at a press conference.
“The more expensive electricity prices get, the higher the cost will be.This is a totally new method of thinking and the idea behind it is that the market wasn’t designed for such extreme circumstances like we face today,” Xinhua news agency quoted Andersson as saying on Wednesday.
On Tuesday prices for electricity in southern Sweden set a record of 7.68 crowns per Kilowatt hour.
The experts predict that electricity prices are likely to increase even more during the winter months ahead, making Wednesday’s new relief package essential.
A more detailed outline of the program will be released in November.
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