Distribution network operator DEDDIE/HEDNO has proposed keeping a public service compensation (YKO) surcharge unchanged but bolstering its special account with a cash injection of between 90 and 110 million euros from the state budget as a means of ensuring its sustainability in coming years.

The operator offered its proposal in response to a question on the matter by RAAEY, the Regulatory Authority for Waste, Energy and Water.

DEDDIE/HEDNO, in its response, forecast a 37 million-euro deficit for the country’s public service compensation special account at the end of 2023, followed by a surplus of more than 17 million euros at the end of 2024.

The operator recommended keeping the YKO surcharge – included in electricity bills – unchanged and bolstering its special account with an injection from the state budget based on forecasts for 2023 and 2024 as well as the need for a safety reserve of between 50 and 60 million euros.

RAAEY, which, according to energypress sources, appears to have agreed with the operator’s recommendation, is expected to approve and adopt the proposal at its plenary session on Thursday.

This approval would pave the way for RAAEY to proceed with a request to the government for an extraordinary grant to the YKO special account from the state budget.

The YKO special account, nowadays managed by DEDDIE/HEDNO, recorded a deficit of 5 million euros in April. It grew to approximately 25 million euros at the end of May.