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Power to the Social Office?

The electricity prices have so far not sold out in several social clients in Trondheim. The impact will only come after the next electricity bill in April, the municipality believes.




(THIS ARTICLE IS MACHINE TRANSLATED by Google from Norwegian)

The number of people who received social support in Trondheim municipality was 2262 people in January last year. In January this year, the number has dropped to 2144 people – despite the high electricity bills.

Nevertheless, it is too early to say anything about this reflects what the municipalities have in store for social costs, according to adviser Harald Solbu in the department of health and care in Trondheim municipality.

Because even though most people received the electricity bill in the mail in January, those who need it have hardly been able to apply for social assistance by the end of the month.

- When the figures for February are available in March, we will, however, be able to see if the electricity bills have led to an increased number of applications for social support, says Solbu.

Rush in April?

He further points out that the great rush of people with financial problems is only assumed to come after the next electricity bill – the one that arrives in the mailbox in April. Because it is the bill that operates with high electricity prices over an entire quarter.

But for those who receive social assistance, the size of the electricity bill does not matter – it is covered by the social services office anyway.

It is worse for the municipalities that cover the bill.

- Assuming that we have around 2000 social clients, we are afraid that the municipality will have an additional expense of 5-6 million kroner, estimates advisor Solbu.

A great moment of uncertainty are also those who have just managed without social support.

- With increased electricity costs, more people can apply for social support from us, and thus increase our additional costs further, says Solbu.

crisis Package

On Tuesday, a majority of the Storting's municipal committee agreed that those struggling with high electricity bills can receive a one-time payment of NOK 2500. The money will be paid to families with children and pensioners who are covered by the housing benefit scheme.

Government Parties, Ap. SV and Sp are also committed to spending NOK 265 million on this measure, which could benefit 106.000 families, according to Dagbladet.

In addition, politicians have agreed to raise the threshold for housing support by NOK 30.000 from April this year. A family with two adults and one child can then receive housing support if it earns less than 180.000 kroner.

- Subsidy

According to Dagbladet, this means that 12.000 more families with children and pensioners in Norway, who have high housing expenses and low incomes, are covered by the housing benefit scheme.

If those who have housing support also receive social assistance, it means that the housing benefit goes to the municipalities.

- In that case, the housing benefit will subsidize our expenses to pay the increased electricity prices for our social clients, confirms advisor Harald Solbu in the department for health and care in Trondheim municipality.

Thus, the politicians' crisis package for the electricity victims will only go directly into the pocket of the individual who receives housing assistance, if he or she does not receive social assistance. Otherwise, the funds will help an already scarce municipal economy.

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