“This is a very unfavorable month because the cold weather has led to an increase in heating bills, plus the VAT benefit has been abolished,” novayagazeta.ee quoted Lukoskevičius as saying. Since 2026, Lithuania has abolished the preferential VAT rate for central heating: it rose from 9% to 21%.
How much does heat cost in Lithuania?
According to the head of the association of heat suppliers, in new buildings you will have to pay about 70 euros for heating, while in old houses heating bills can reach 200 euros.
What has Latvia done?
At the same time, neighboring Latvia has decided to approach this problem differently. From January 1 to May 31, 2026, the Riga heat supply company “Rīgas siltums” will not fine customers for overdue heating payments.
Also, until May 31, customers will be offered an opportunity to pay off debts incurred in previous periods without penalties. Previously accrued fines will be canceled when paying the bill.
In this regard, the media quotes the executive director of Riga City Council, head of the central administration of the Latvian capital Janis Lange, who urged municipal enterprises not to apply fines and not to charge interest for overdue payments until the end of the heating season. He explained his proposal by the fact that heat energy consumption had increased sharply due to severe frosts.
According to “Rīgas siltums” estimates, it may increase by 59% in Riga in January.
