While many in recession-wracked Hungary are continue to treat themselves to home-delivered meals every day, others are apparently having trouble keeping current with their household energy bills. According to napi.hu, individual consumers and companies have built up tens of billions of forints in debts to energy firms like Elmű-Émász, Főtáv, Főgáz and Démász, with not only the amount of unsettled invoices growing, but the time during which they are not being paid.
Meanwhile, the stress on households and firms appears to be leading many to cut back on energy use. Among the customers of E.On Hungária, electricity and natural gas consumption have both dropped by 8%.
According to the report, the biggest problem for the utilities is posed by small firms becoming insolvent, leaving behind bills unlikely to ever be paid.
Well as long as they keep adding a full 25% VAT on these essential goods and services, I’m not really surprised people are having difficulty paying.
This is a truly uncaring and thoughtless action from the government.
And as for the debt to utilities caused by insolvent companies, 3 guesses who will be picking up that tab, one way or the other.
And those that do pay, are then expected to cover the losses.