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Sarajevo Times > Blog > BUSINESS > Incomes are the same, but expenses are rising in BiH
BUSINESS

Incomes are the same, but expenses are rising in BiH

Published: October 26, 2026
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Demands for higher heating and public transport costs, the expansion of paid parking zones, and uncertainty regarding future electricity prices – all these factors are raising concerns about household budgets in Banja Luka. While waiting to see which changes will be approved by the authorities, citizens say they are already struggling to cover their current expenses.

In Banja Luka, there are calls for higher prices for heating and public transport, the paid parking zone is being expanded, and uncertainty surrounds future electricity bills. We asked the citizens: how do they manage to pay their bills and cover daily living expenses with their current income?

On one side are the demands of utility companies; on the other, limited household budgets. Economist Zoran Pavlović notes that the calculations for these new prices fail to address a crucial question: can the citizens actually afford to pay them?

ZORAN PAVLOVIĆ, Economist

“The situation is such that everyone will try to push for price increases, without considering whether the customers – the citizens – can actually bear the cost.”

Some residents of Banja Luka began the new heating season with cold radiators, alongside a demand from the heating provider, “Eko Toplane,” to raise service prices by 52 percent. While repairs are underway, the question remains: why wasn’t the network made operational during the summer? Furthermore, what do citizens actually get in return for paying for heating year-round – all twelve months – if there is no heat when it is actually needed? Representatives from “Eko Toplane” were not available for an on-camera statement. In a press release, they state:

“Over the past period, Eko Toplane has repeatedly warned the City of Banja Luka and the relevant institutions about the dilapidated state of the distribution network.”

It remains uncertain whether the requests for higher heating and transport prices will be approved. Decisions are awaited from the City Assembly, whose proceedings have been marked by sessions that failed to take place. Thus, alongside the question of how high the new bills will be, there remains the question of when the councilors will even discuss them. Regarding electricity, Elektroprivreda Republike Srpske (ERS) states that they can still maintain the current price for citizens – at least until March.

LUKA PETROVIĆ, General Director of Elektroprivreda RS

“It should be noted that the Government consistently maintains a ‘social’ price for electricity—something we are still able to sustain – a practice not found anywhere else in Europe.”

It is not yet known how many of these requests will actually result in new price lists. The utility companies are seeking more funds to keep their systems operational. For citizens, the question remains: how will they fit these higher bills into their incomes – incomes which, they say, are already insufficient?, BHRT writes.

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