New electricity customers in Upper Austria give new hope. Their rates, which are usually much more expensive than those of existing customers, can’t be beat for many.
As the government investigates a potential ceiling on electricity prices, an opportunity appears to be emerging that would make such a measure obsolete. Because the fact that energy suppliers like Energie AG charge a rate of 50 cents per kilowatt hour for new contracts may not be legal at all – at least in Upper Austria, Tyrol and Styria.
right to electricity
That is the conclusion of Florian Kanzler, head of energy service provider Energo. He refers to a legal passage that few customers are aware of: the basic power supply. This refers to the right to purchase electricity at a “reasonable average price” that is far below the current market price, even when registering for a new one (for example, when moving house or after termination of a contract).
The basis is an EU requirement that applies throughout Austria, but is implemented differently in the federal states. In Upper Austria, all private consumers and small businesses are entitled to basic services – and those of all energy suppliers in the state. This is supported by an expert opinion of lawyer Stefan Schoeller.
1400 euros extra costs
In any case, the price difference is significant: according to the website of Energie AG, the basic supply rate is 9.78 cents per kilowatt hour. Compared to the new customer rate of 50 cents per kWh, a household with an annual consumption of 3500 kWh will incur additional costs of 1400 euros.
Other interpretation
The big energy suppliers interpret the basic power supply differently than Kanzler and Schoeller. Energie AG offers this low rate only to people who are considered “protective in need”. Criteria for this are the level of income, the share of energy consumption in the disposable income, the energy efficiency of the apartment or house and the age.
However, Linz AG states: “The basic provision is relevant, for example in case of payment difficulties, if the system is about to be shut down or the system has already been shut down.”
Source: Krone
I am Ida Scott, a journalist and content author with a passion for uncovering the truth. I have been writing professionally for Today Times Live since 2020 and specialize in political news. My career began when I was just 17; I had already developed a knack for research and an eye for detail which made me stand out from my peers.
