Utilities tariffs from January 1, 2022 in Moscow and the Moscow region

2024 Author: James Gerald | [email protected]. Last modified: 2024-01-18 00:05

In September 2019, the Ministry of Economic Development presented to the government an economically motivated macro forecast for the indexation of tariffs from 2021 to 2023. On September 16, the Russian government approved it by its resolution. Let's consider what the tariffs for housing and communal services will be from January 1, 2022 in Moscow and the Moscow region, based on the planned indexation.

Reasons for tariff growth, restrictive barriers

Tariffs in Moscow and the Moscow region are different. The government decree regulates the average increase in tariffs throughout the Russian Federation. The size of the cost of housing and communal services is determined by the regional government and municipal authorities.

The reasons for the increase in tariffs are that the cost of housing and communal services, which are a product of the activities of utilities, is influenced by a number of objective factors that stimulate the growth of tariffs.

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Among them should be highlighted:

• deterioration of infrastructure networks, facilities, utilities;
• the degree of their modernization;
• energy saving works;
• types of fuel;
• climatic characteristics of the region;
• inflationary processes.

It is no secret that not all communications, even in Moscow and the region, have been updated. More than 50% need to be replaced, although modernization work is being carried out systematically. The transition to more efficient technologies, including energy-saving ones, requires a large number of buildings on the balance sheet of public utilities.

In connection with inflationary processes, materials for renovating infrastructure facilities are also growing in price, and the salaries of housing and communal services workers are being indexed. This is also included in the cost of the services they produce.

In turn, the government monitors that the growth of tariffs does not exceed the level of average annual inflation.

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What is the increase in tariffs projected in Moscow and the region in 2022

Consider the question on average for the city and region. As already noted, tariffs may differ by municipalities.

Let's take an average apartment of 54 sq. m, a family of 3 people.

Type of service	Increase since July 2021,%	The amount of the increase, rub.	Final cost	Projected growth rate in 2022,%
Heating	1, 7	39	2290	3-4
Hot water	2, 1	34	1690	3-4
Cold water	3, 7	15	410	3-4
Sewerage	1, 8	13	724	3-4
Rubbish	0	0	431	4
Electricity	3	34	1168	up to 5
Gas	0	0	197	3

Since July 2021, the average increase in the cost of housing and communal services amounted to 135 rubles. In Moscow, the average growth in tariffs in the second half of 2021 was 3.7%.

This is the lowest increase in the cost of tariffs associated with the fact that the government decided to freeze gas prices, garbage collection in connection with the coronavirus epidemic. Housing and utilities tariffs from January 1, 2022 in Moscow and the Moscow region are planned to be increased by about 4-4, 2%, that is, by the planned inflation rate.

The cost of electricity for residents of the Moscow region, apartment buildings where gas stoves are installed, is 27-30% lower and averages 4, 15-4, 29 rubles. A third of the region's residents live in the Moscow region, so this is a significant savings for them.

In individual municipalities, tariffs for heating, hot and cold water, and sewerage may generally differ. Where modernization and reorganization of the structures of companies supplying housing and communal services has been carried out, their cost decreases.

It is possible to reduce the cost of electricity by using a multi-tariff meter. The difference in tariffs during peak hours and at night is quite significant. Energy-intensive household appliances (washing machine, boiler, dishwasher) can be turned on at night.

In connection with the planned increase in tariffs, many beneficiaries were interested in the question of whether the preferences would be canceled for them. According to available information, all benefits for various categories of the population will remain.

Outcomes

The Ministry of Economic Development and Trade approved in September 2019 the planned indexation of tariffs inclusively until 2023. The growth of housing and communal services tariffs from January 1, 2022 in Moscow and the Moscow region, other regions should not exceed the inflation rate in the country. The formation of tariff scales in individual municipalities is influenced by decisions of self-government bodies. In Moscow, prices for water supply and sewerage services are determined by the Committee for Prices and Tariffs of the Moscow Region.