Gov’t decides gas subsidies to be income-based from 2007
The government decided on changes to Hungary's system of retail gas price subsidies, which would offer subsidies based on household income instead of the current consumption-based subsidies, Minister of Labor and Social Affairs Péter Kiss announced after Friday's cabinet meeting.
From January, Hungarians will be eligible for four different levels of subsidies up to a monthly income of 3.5 times the subsistence level for pensioners, or up to monthly per-capita household income of Ft 93,905. Those earning more will not receive any subsidy. Some 2 million of the total of 3.8 million Hungarian households will receive gas subsidies, Kiss said.
Under the current system, the first 3,000 cubic meters of gas consumed by a household a year is subsidized, with the first 1,500 cubic meters consumed receiving more subsidy than the second 1,500 cubic meters. Big families and disabled people receive additional subsidies.
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