There is too little competition in the domestic energy market. This not only keeps the price level high, but also causes enormous differences in the rates in the comparison of the federal state. An important reason for this are the mutual investments between energy suppliers, emphasizing e-checks and the Federal Competition Authority (BWB).
The two authorities founded an energy task force in 2023 and looked at the Austrian energy market. In the final report that is now available, the summary is now very sobering. “It is surprising that after 24 years of liberalization there is still no national competition,” emphasizes BWB General Director Natalie Harsdorf. For this there are regionally dominant companies, which is very surprising for a manageable market such as Austria. However, a lack of competition leads to higher prices that ultimately have to pay private households and companies.
“An inhibitory is the Dunsbroek”
A thorn in the side is the mutual and indirect participations between the energy suppliers for the two authorities. These are an “absolute rear -up” for the competition and therefore also for the business location, Harsdorf emphasizes. Together with e-control board member Wolfgang Urbantsschitsch, she proposes at least a stop or a login or test obligation. A special investigation would also be conceivable. Sustainable The competition situation would also improve the general upper borders (for example 25 percent) or a full ban on mutual participations. Transparency obligations would also be welcomed here.
From autumn there will be a “black list” for the market participants who mentioned “unwanted behavior” (“no-gos”). This is similar to the Putten catalog in the food trade, which all large providers have even signed.
“Monthly invoicing would increase transparency”
There is also criticism of the lack of transparency on the energy market. This is an important reason why the change rate in Austria by 4.5 percent (electricity) or 6 percent (gas) 2024 compared to other countries (Italy, for example 18 percent in electricity and 13 percent in gas) is extremely low. In particular, a standard monthly electricity invoicing would help. At the moment, every household must be consciously decided. In addition, the Urbantschitsch Board of Directors: “You do not buy your crews from the baker by paying a fixed amount each month and then invoicing at the end of the year”.
BWB initiates investigations
In any case, a result of the Energy-Task Force is further research by the BWB. “We will install a relatively large number of companies.
“To recognize huge price differences in households”
The lack of competition in Austria ensures that the price differences in electricity are enormous. Urbantschitsch emphasizes up to ten cents per kilowatt hour. The spread is comparable with natural gas.
An up -to -date overview of the comparison portal shows that, depending on the federal state, the savings potential is currently great. Up to 473 euros are possible with the change in the state supplier to the cheapest alternative provider. Work prices without a price guarantee would currently only start 7.7 cents per kilowatt hour, which with a price guarantee from 8.8 cents per kilowatt hour. “The annual costs for energy suppliers of the state are on average 285 euros above the cheapest alternative rates. This corresponds to the extra costs that an average budget yield because of the elimination of the electricity cost brake,” explains Energie expert Stefan Spiegelhofer from the viewer.
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.
