The increase was announced yesterday by Economy Minister Radimir Cacic.
We can choose between pushing the monopoly power corporations into economic ruin and then bail them out with taxpayers' money, as we are doing with shipyards, or adapting and changing the rules of the game as we go along. But what has gone on until now was not good, Milanovic said in response to questions from the press.
"You can't sell a product below price indefinitely. We did that with ships."
He said the government's task in such a difficult situation was to provide for the living standards of those who were in the most difficult position, create jobs and attract investments.
According to unofficial reports, the HEP power company has forwarded an official request for a higher electricity price. The media speculate the increase for households will be about 20 per cent.