The Government also decided to purchase more biofuel in the market, a move expected to have a favourable affect in certain municipalities.
"I would like to reassure you. There was a commotion over gas prices, facts were interpreted wrongly causing unneeded panic. Now we see that compared with the last year the price of gas will be lower. The price of gas from the LNG will be lower than the price applied by Gazprom last year. ()," said Masiulis.
According to the ministry of energy, liquefied natural gas (LNG) price should fluctuate at around LTL 1,100 (EUR 319) per thousand cubic metres, while Gazprom's price at around LTL 1,000 (EUR 290) per thousand cubic metres. The previous price of gas from Gazprom was up to LTL 1,300 (EUR 377) per thousand cubic metres of gas.
Masiulis says the gas tariff's security component will decrease from LTL 102 (EUR 29.5) to LTL 78 (EUR 22.6) per thousand cubic metres.
According to the minister, "heating in those districts where gas is used to generate heat should not grow and perhaps can subside slightly." Meanwhile, heating prices in the areas where biofuel is used to generate heat will depend on biofuel purchase prices.
Masiulis said the Government made a significant step on Wednesday approving a draft law on the increase of biofuel share to be bought in the market.
It is planned that in 2016 the share of biofuel to be bought in the market will rise to 50% and the year after that to 100%.
