The business sector reacted this morning to the news about the expected increase in electricity rates at the beginning of 2023, and this after the cost of production jumped by 14% since the last update.
Dobi Amitai, chairman of the presidency of the business sector: “The government must understand that the economic risks associated with the increase in electricity prices, together with additional price pressures on businesses such as the increase in interest rates, are very significant. The expected increase in electricity prices may lead to an increase in prices for the final consumer and as of this moment there is no clear policy regarding the continuity of the measures to contain the price increases in the coming months. The current situation can lead to harm in business and I am concerned about the future of the industries in which electricity is an essential component of the production inputs, which can lead to business mortality due to a decrease in the viability of the business activity and in some cases – even a risk of abandoning industries due to lack of economic viability. The time has come for the professional level in the government ministries to meet with the business sector and formulate an orderly plan with clear tools that will respond to price increases and provide business certainty for all businesses.”