National energy company takes over Skopje heating company

BEG faces bankruptcy in the face of soaring gas prices and the regulated price they can charge from the 60,000 households they are supplying in Skopje. [Shutterstock / SariMe]

The state-owned ELEM/ESM energy company has formally taken over BEG – the main heating company in Skopje. BEG faces bankruptcy in the face of soaring gas prices and the regulated price they can charge from the 60,000 households they are supplying in Skopje.

After brief negotiations with the government, it was determined that ELEM is taking over the management of BEG and all losses that will be incurred over the winter. The company will later be returned to its private owners, led by businessman Vančo Čifliganec.

The government will initially pay €6 million to ELEM to cover natural gas costs, effectively subsidising the heating bills for much of downtown Skopje.

BEG will be required to pay the money back in 2023 and will have to provide guarantees that it will do so. (Željko Trkanjec | EURACTIV.hr)

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