Heating may become more expensive due to emission recalculations

© Jānis Vecbrālis/F64

Earlier this year, the government adopted new "Regulations on the Limitation of Air Pollution from Combustion Plants." They will cause an increase in the price of heat produced in small boiler houses, and there are many of them in Latvia - about 1,500.

While the majority of the public and politicians are preoccupied with managing the consequences of the pandemic, the government's busy agenda also had some non-disease-related legislations. There is a lack of certainty as to whether the society to which these regulations apply notices at all and is able to influence the process of drafting a new regulation.

Emissions from boilers have an impact on both heat tariffs and natural resource tax calculations. Under the new order, firewood is equated in its harmfulness with coal, which is absurd in itself.

Fee for non-existent pollution

Neatkarīgā's attention was drawn to this problem by Andis Vaičulis, who himself has been working in the field of environmental protection for many years and is currently calculating the emissions of boiler houses and the natural resource tax applicable to them on behalf of clients. For one client - a small wood processing company with its own boiler house - the payment will now increase from 200 euros per year to 2000 euros. That is ten times as much, and the methodology for calculating emissions embedded in the new regulations of the Cabinet of Ministers is to blame:

"Firstly. Compared to the old system, emissions from boilers will now increase several times. As a result, the natural resource tax will also increase several times, as it is calculated in proportion to the amount of emissions. This in turn will further increase heat tariffs.

Secondly. Air quality on paper will deteriorate. In the past, SO2 emissions were not taken into account for wood-burning boiler houses, now they will “cause” large emissions and emissions of other substances will increase several times. As a result, it will turn out that the small village boiler house will suddenly significantly pollute the air.

Thirdly. MEPRD promotes the slogan - the polluter pays. However, the new procedure stipulates that boiler houses will pay for pollution that it does not cause at all.” These are the consequences that Andis Vaičulis sees for the new rules. According to new calculations, a boiler house burning natural gas emits 2-4 times more on paper than last year, and about 6-7 times more when burning wood chips.

Price increase due to emissions

The fact that the regulations will increase the price in the future is also acknowledged in the annotation of the regulations of the Cabinet of Ministers:

"Additional costs may be incurred by operators of combustion plants with a capacity of up to 1 MW, as more stringent emission requirements are planned for the operation of these plants in the future. The total number of installations or emission sources with a capacity of less than 1 MW could be indicatively ~1500.”

The target groups of the society, which will be affected by the legal regulation, are also indicated there. There are many:

"Companies, state and municipal institutions that operate incineration plants, environmental consulting companies, measurement laboratories, the State Environmental Service, as well as the whole society that benefits from the reduction of pollution caused by incineration plants."

Of course, the need to warm up in three seasons can be narrowly viewed from only the point of view of emissions, and the Ministry of Environmental Protection and Regional Development does so.

Wood on the blacklist

Here is a longer quote from a comment prepared by the Ministry:

"It should not be denied that burning firewood in general results in air pollution. Burning firewood emits as much dust and fine harmful particles as burning coal, so MEPRD believes that in this case, the “polluter pays” principle is observed and thus the biggest polluters are motivated to choose more environmentally friendly technologies, appropriate fuels and maintain their boiler properly so as not to cause so much air pollution. Latvia must ensure air quality that is safe for human health and complies with international obligations, as well as take into account the fact that the widespread use of renewable energy resources such as biomass in Latvia has led to an increase in particulate matter and volatile organic compound emissions in recent years. If the use of biomass is further promoted without compensating for and reducing the negative air pollution caused by this fuel and without motivating operators to use the latest low-emission technologies, this could have a negative impact on the health of people living in the vicinity of these boiler houses."

It should be recalled that a few years ago the state itself encouraged and called for the transition of small boiler houses from fuel oil or diesel to wood chips. Roadsides are full of shrubs, a renewable resource. After the declaration of climate neutrality, the wood has been placed on a blacklist, alongside coal and fuel oil. At the same time, green light is given to gas burned for central heating, which is not available everywhere and to everyone. Of course, all the documents also refer to various fairy-tale solutions - solar energy and other emission-free heat sources.

You can just buy a new boiler!

The ministry disagrees with concerns that the new rules will lead to higher heating costs:

"We do not agree with the fact that boiler houses will pay for pollution that it does not cause. In cases where SO2 emissions have not been calculated by the operator of the solid wood biomass combustion plant so far, as they are minimal and very insignificant, the natural resources tax on air pollution with sulfur dioxide still will not have to be calculated and applied.

We cannot agree with the statement that heat tariffs will increase, because Cabinet Regulation No. 17 allows the possibility to perform calculations in other ways and prove that the amount of emissions is insignificant, in cases where the company has invested in treatment plant installation, appropriate fuel selection and maintenance. The regulation allows the operator to also use the values ​​specified in the installation manufacturer's declaration, as well as to use the concentration obtained from the emission measurements."

So if you don't want to pay more, you can measure emissions, which still costs something. And there is also the possibility to replace boilers, because they produce less emissions in nature, but most importantly - on paper. Accordingly, lower emission factors have been set for new installations, which are then used in the tax calculations.

Stoves do not fit with the dreams

A year and a half ago, some arrogant statements by the then Minister of the Environment, Juris Pūce, caused widespread public outrage - that the government intends to ban individual firewood heating. Then ministry officials explained that, no, it will not be banned, but if it is banned, then not for everyone, and if for everyone, then not everywhere. It will only encourage, promote, educate, perhaps provide bonuses, and so on. But in the end, the result must be the same, regardless of the words in which the goal is dressed - fewer stoves, fewer chimneys or higher taxes. It is included in the “Air Pollution Reduction Action Plan 2019-2030."

Small boiler houses and their users must also take into account that an ordinary boiler with an ordinary chimney and ordinary smoke no longer meets the national dreams of climate neutrality.

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