In recent months, the Consumer Disputes Board has been tasked with mediating several cases involving consumers who have signed fixed-term electricity contracts at exorbitant prices. The board has found that these prices were unreasonable in some cases, and has issued guidance on price mediation for fixed-term electricity contracts.
According to the board, consumers have entered into contracts at high prices, and tens of thousands of similar situations have been identified. Thousands of people have received payment default notices for unpaid electricity bills as a result.
The Consumer Disputes Board has set limits on what is considered unreasonable in electricity contracts. The fixed price of a contract can be deemed unreasonable if it is more than 15% higher and more than 150 euros higher than the average price of similar contracts during the contract period. Cases resolved by the board have shown that consumers have paid significantly higher prices for their electricity compared to similar contracts offered later during the validity of the contracts.
Despite unexpected price developments due to external factors such as Russia’s war with Ukraine, electricity sellers should have better opportunities to assess the development of electricity prices in advance. However, consumers who have made expensive contracts continue to pay high prices even after mediation.
The board emphasizes that consumers of resolved cases are urged to contact the consumer ombudsman for further resolution, potentially leading to a Supreme Court decision that may apply to all fixed-price electricity contracts signed in the fall of 2022.