2023-10-10 19:07:25
Extension of the strategic gas reserve and expansion of stockpiling obligations
Vienna (PK) – From February 1, 2024, gas purchasers must be informed once a year by their suppliers in an information letter personally addressed to them about the possibility of switching to a cheaper product and about the regulatory authority’s tariff calculator. If so-called floater tariffs are offered, consumers must also be informed about the opportunities, costs and risks of these products both before the contract is concluded and during the term. These are just some of the new transparency provisions that have been introduced today as part of a collective amendment and in the version of an amendment with the votes of the ÖVP, SPÖ and the Greens Economic Committee were decided.
In view of the ongoing uncertainties surrounding natural gas deliveries from Russia to the EU and Austria, the period of validity of the strategic gas reserve in Austria should also be extended until April 1, 2026, according to the application. The changes proposed by the government factions in the Gas Industry Act, the Petroleum Stockpiling Act and the Electricity Industry and Organization Act (ElWOG) also stipulate that the supply of gas to protected customers (e.g. households, social institutions) between October 1st and March 1st must be guaranteed for 45 days. This period is shortened to 30 days through appropriate proof if the quantities of gas to be kept are exclusively of non-Russian origin. In addition, the reporting obligations of natural gas suppliers to the E-Control tariff calculator will be strengthened and clarification will be made regarding the involvement of the main committee in issuing regulations in connection with the strategic gas reserve.
The agenda also included a number of opposition motions on various energy issues, all of which were postponed with the votes of the ÖVP and the Greens.
Better transparency and comparability of prices should encourage customers to switch
At the heart of the collective amendment is that gas customers should be encouraged to switch to standard products that are financially cheaper for them. This is accompanied by a number of information obligations on the part of suppliers, as has already been implemented in the electricity sector. It also creates the possibility that, upon consumer request, the partial amounts must be adjusted at least every six months to reflect current consumption and the agreed fee. There are increased information requirements for so-called floater tariffs; Such contracts may be terminated by the customer at any time subject to a notice period.
Suppliers who supply end consumers are obliged to immediately report all price-relevant data for their standard products (names, start of offer, any automatic price adjustments and deadlines) to the regulatory authority and to transmit the necessary data for entry into the tariff calculator. This is intended to ensure that customers can compare the prices for the standard products they have purchased in the past with current offers and thus recognize price advantages. The reporting requirement enables the regulatory authority to make this data available in the comparison tool.
To ensure the supply of electricity, operators of power plants that are connected to the public grid and run on natural gas must maintain stocks to such an extent that their gas power plants can use the stored stocks from October 1st to March 1st for a period of can be supplied with natural gas for a total of 45 days. The period to be insured is reduced to 30 days if it can be proven that the stored stocks have non-Russian origin. The provisions on fuel storage for power plants in the Petroleum Stockpiling Act (3531/A).
MP Lukas Hammer (Greens) was convinced that the numerous measures would not only increase transparency for customers, but also security of supply. There is also an incentive to get out of Russian gas and diversify. He thanked the SPÖ for its constructive contribution and for approving the law, as a two-thirds majority was required for the resolution to be passed in the plenary session. The jointly formulated amendment ensures, among other things, that all regulations relating to the strategic gas reserve now require approval by the main committee of the National Council.
Tanja Graf (ÖVP) pointed out that in the future, power plants that generate electricity from natural gas will also be covered by the stockpiling obligation.
SPÖ representative Alois Schroll was pleased that it had been possible to extend the information requirements that already existed in the electricity sector to gas customers.
Axel Kassegger from the FPÖ was able to find some positive things about the legal changes. However, since security of supply is more important to him than the diversification of gas reserves, he will not agree to the amendment.
In addition to security of supply, attention must also be paid to diversification, replied Federal Minister Leonore Gewessler, who recalled the difficult situation last year. It is also the responsibility of the energy providers, who have to bear an adequate share of the risk.
NEOS for integrated, cross-state infrastructure planning and extension of the Electricity Price Compensation Act
According to NEOS, especially with the expansion of the energy infrastructure, which is so important for the energy transition, synergies could be created with other energy networks such as gas or hydrogen as well as with fiber optic cables or with the sewer network, thus increasing the pace, explained MP Karin Doppelbauer. The NEOS call on the Energy Minister to create the basis for integrated, cross-border infrastructure planning, taking into account state competencies and in collaboration with other departments. This should bundle data and resources, enable synergies when finding routes and intensify communication with authorities and data exchange. From NEOS’s point of view, it should also include, among other things, road, bicycle, walking and rail infrastructure, telecommunications as well as energy infrastructure such as power and gas lines (3385/A(E)).
MP Lukas Hammer (Greens) referred to the planned implementation of an integrated network infrastructure plan; A related amendment was sent for review at the beginning of July. However, both Christoph Matznetter and Karin Doppelbauer (NEOS) rated the suggestions contained therein as not far-reaching enough.
NEOS aims to cushion the continued high energy costs and thereby strengthen the competitiveness of the energy-intensive Austrian industry. They are in favor of granting energy-intensive companies financial support within the meaning of the Electricity Price Cost Equalization Act (SAG) until 2030 (3582/A(E)). The current limitation of the Austrian Electricity Price Compensation Act to 2022 would expose Austrian industrial companies to systematic disadvantages in international and European competition, according to Gerald Loacker from NEOS. Energy-intensive companies would be supported throughout Europe, he said at the meeting.
Both motions were postponed with a majority of the ÖVP-Greens.
FPÖ: “Real opting-out” for smart meters
In a motion for a resolution – which was also postponed – the FPÖ spoke out in favor of a “real opt-out” for electricity customers to prevent the installation of intelligent measuring devices – so-called smart meters. The right to insist on the continued use of mechanical or electrical measuring devices without communication capability should apply in particular if the roll-out level of the responsible distribution network operator has already reached the legally standardized 95%. The installation of an intelligent measuring device and thus the replacement of the old meter cannot be prevented under the current legal situation, which has led to massive resentment and incomprehension among those affected in recent years, argued Axel Kassegger (3611/A(E)).
Laurenz Pöttinger (ÖVP) noted that it is regrettable that this important instrument has been torpedoed by the FPÖ for over ten years.
SPÖ insists on legally compliant price transparency for district heating
Even if the majority of the costs in the district heating system depend on the respective production, publishing the respective price components could help ensure greater comprehensibility for customers, claims the SPÖ. Corresponding transparency rules have been bindingly anchored in the Renewable Energy Expansion Act (EAG) since July 2021. The Environment and Energy Minister is responsible for publishing the data. But nothing has happened for over two years and three months, criticized Alois Schröll (SPÖ). The SPÖ therefore called on the minister to immediately comply with her legal obligation under the EAG in this area and to publish the data to establish price transparency (3587/A(E)).
It was the SPÖ’s express wish that the ministry, rather than the regulatory authority, should be responsible for the district heating sector, recalled Tanja Graf (ÖVP). A solution would therefore have been possible for a long time.
Lukas Hammer (Greens) also pointed out that due to the ministry’s responsibility, a Europe-wide tender had to be carried out. As far as price control is concerned, appropriate legal options would have existed long ago. While prices in Upper Austria were only adjusted by around 8%, the district heating company in Vienna, which is owned by the city of Vienna, decided on an increase of 92%.
There is currently only an empty homepage, explained Christoph Matznetter (SPÖ), and he doesn’t understand why it’s taking so long.
The ministry announced that the first tariffs should be published on the Internet by the end of the year. (Continuation of the Economic Committee) sue/mbu
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