The subsidies will not be cut in the 2019-2020 heating season. Everyone who is entitled for granting a subsidy will get it.
Meanwhile, the Government has taken steps to increase targeting of allowances and reach a larger number of low-income recipients. In particular, on October 20, the Cabinet of Ministers decided to extend the range of recipients of this type of assistance.
Moreover, the resolution stipulates for the change in the percentage from 15 to 20% that a household pays for a utility. However, changes to the subsidy formula will take place from May 2020, that is after this year's heating season is over. The approaches remain the same: the smaller the income, the higher is the assistance.
Apart from that, the principle of calculating subsidies has not changed at all and is determined individually: the lower the incomes of the family, the lower is the obligatory share of the utility bill and, consequently, the larger is the subsidy amount.
For instance, in the 2018-2019 heating season, the average amount of payment from family income was 9.78% (though in the formula this indicator was 15%), with more than 40% of families paying only up to 7% and another 30% of families - 10% of the income, i.e. a change in the formula from 15% to 20% does not mean such percentage of payment.
At that, the subsidy will become more targeted and will be paid to those who really need it. After all, more money will be directed to low-income families.
“We want more funding in the subsidy program to be left for the poorest categories. For example, family-type orphanages that were not included in the program before or low-income families,” said Prime Minister Oleksiy Honcharuk.
Therefore, in the next heating season of 2020-2021, there are not envisaged any deteriorating conditions for the subsidy recipients.