Serbia energy update: Belgrade rejects heating price hikes as gas deal extended

In Serbia, energy costs and heating preparations are central topics as the winter season approaches. In Belgrade, the city authorities have rejected a proposal from JKP ‘Beogradske elektrane’ to increase district heating prices by 9 percent. While a proposal suggested increasing the fixed component by 18 percent and decreasing the variable component, the status quo will remain for the upcoming season. Functional testing of the heating system in Belgrade is scheduled to begin on October 1 and will continue until October 8 to ensure readiness.

Regarding natural gas, Srbijagas director Dušan Bajatović confirmed that the gas arrangement with Russia’s Gazprom has been extended until the end of the year under the same favorable conditions. This agreement ensures stable supply at competitive prices, which is critical given that European market prices have exceeded 800 euros per 1,000 cubic meters.

Energy Agency of Serbia (AERS) analysis indicates significant cost variations for households. Natural gas and firewood remain the most economical options, while pellet heating costs are projected to rise by 50 percent compared to last season. Direct electric heating is identified as the most expensive method. Additionally, electricity tariffs in Serbia vary by region and time, with lower rates available for eight hours daily depending on the specific distribution zone.