The Tyrolean state energy company Tiwag has now responded to harsh criticism of its pricing policy in recent weeks. “Due to the currently extremely dynamic market environment,” the announced electricity price cut was brought forward to July 24, it said on Tuesday.
The current decision was made following an “order to examine an early reduction in the electricity price” before the start of the autumn heating season by the state’s governor and owner’s representative, Anton Mattle (ÖVP).
“Price guarantee” during the winter
This means the company remains “one of the cheapest state energy suppliers” for customers, Tiwag CEO Erich Entstrasser explained in a press release. The energy price for all customers who switch to the new electricity contract or who have already switched will be reduced to 15.7 cents per kilowatt hour net or 18.84 cents per kilowatt hour gross, including surcharges.
There is a price guarantee until March 31, 2024 – and thus until the end of the upcoming heating season. Energy prices can only be reduced, but not increased. Innsbruck’s municipal companies would also adapt their products accordingly.
In addition, Tiwag will now look into whether a further price reduction around the turn of the year is possible due to the new purchasing strategy and market price developments.
AK: “Once again, the effort was worth it”
For the Tyrolean AK president Erwin Zangerl, the concession of the Tyrolean state energy supplier is “a step in the right direction”. As you know, the Labor Chamber filed a lawsuit against Tiwag in May. Due to a lack of transparency, you felt compelled to take this step,” it said at the time.
“Unfortunately, Tiwag underestimated the development and did not take our warnings seriously. The consequences for customers are so enormous that eventually action had to be taken. However, we will monitor developments in the electricity market in the coming weeks and will continue to do our utmost to ensure that every opportunity is taken to further reduce electricity prices in the autumn and not just at the end of the year.” , emphasizes Zangerl.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
