District heating price increases: Illegal and abusive - consumer advocates are suing

District heating price increases: Illegal and abusive - consumer advocates are suing

According to a report by www.tagesschau.de,

Consumer advocates have filed class action lawsuits against district heating providers Eon and Hansewerk Natur, claiming their price increases in recent years have been unlawful. The Federal Association of Consumer Organizations (vzbv) would like to use these lawsuits to obtain refunds for the affected consumers.

Consumer advocates claim that the two companies' price increases after 2020 are ineffective because the price change clauses do not meet legal requirements. An example that was given is the Eon prices in the Erkrath-Hochdahl supply area in North Rhine-Westphalia, where the gross working price was increased from 6.18 cents per kilowatt hour in 2020 to 23.24 cents per kilowatt hour in 2022.

The companies Eon and Hansewerk Natur rejected the allegations and defended their prices as fair and transparent. They explained that their prices followed legal requirements and were adjusted to cost and market developments.

It is important to note that the Federal Cartel Office has also become aware of the price increases by district heating suppliers and has opened abuse proceedings against six companies on suspicion of excessive increases.

The Cartel Office's lawsuits and abuse proceedings could have a significant impact on the market, in particular on district heating prices and consumer rights. Customers could potentially receive a refund if the class action lawsuits prove valid. Furthermore, if the cartel office finds that the price increases were unlawful, it could take action against the companies concerned.