"Electricity Costs Down, Mood Up": ÖVP Delighted with New Electricity Market Act

Minister of Economic Affairs Wolfgang Hattmannsdorfer and Energy State Secretary Elisabeth Zehetner (both ÖVP) once again drummed up support for the new Electricity Market Act on Friday morning. "Electricity costs down, mood up," they proclaimed to journalists and saw the so-called "Cheap Electricity Act" as proof of their reform and implementation strength. Within just nine months, they managed to set up a comprehensive "operating system" for the electricity market.

Electricity Market Act Passed with Two-Thirds Majority

As already on Thursday evening, the government representatives lavishly praised the Greens for their approval of the law. He would like to "thank them very, very much," said Hattmannsdorfer, and Zehetner saw the agreement on the necessary two-thirds majority in parliament as proof that democracy works.

Austria will be "brought back to the fast lane," assured the Minister of Economic Affairs and emphasized: "We are staying on the ball." Zehetner spoke of a "strong balanced package" that was designed more than 90 percent as originally planned by the government.

It is important that consumers now take responsibility and ensure more competition in the electricity market by switching tariffs, explained the minister. He himself conducted a tariff comparison for the second district of Vienna before the press conference and found a potential saving of up to 553 euros per year.

Penalties for Suppliers if Necessary

The regulatory authority E-Control will in any case ensure that price reductions in the electricity markets are also passed on to customers - at least to the same extent as in the markets. E-Control will monitor this, and there will be penalties for violations, assured Zehetner.

Hattmannsdorfer emphasized that the government has fixed a clear roadmap for the "Cheap Electricity Act." The "Price Down Guarantee" will come into effect in January 2026, the social tariff from April 2026, the new rules for energy communities from October 2026, and the new network fee structure from January 2027, to name a few examples.

On Thursday evening, the new Electricity Market Act was passed in the National Council with the votes of the governing parties ÖVP, SPÖ, and NEOS as well as the opposition Greens. The FPÖ rejects the law and speaks of a "sham package," claiming that the promised cost savings for customers will not materialize in the end.

FPÖ: Predictable Fiasco

The long-awaited reform of the Electricity Industry Act (ElWG) has largely failed among experts from industry and business," said Upper Austria's Deputy Governor Manfred Haimbuchner (FPÖ). He spoke of a "predictable fiasco".

For NEOS energy spokesperson Karin Doppelbauer, however, "the urgently needed modernization of the Austrian electricity industry is finally being undertaken". The Greens, who enabled the two-thirds agreement, now see Hattmannsdorfer as being in charge. "The talk of the cheap electricity law is a complete exaggeration. Yesterday's decision alone will not lower any electricity bills. Yes, the Electricity Industry Act is important and good. But the federal government still has major homework ahead to reduce energy prices," emphasized Green Party chairwoman Leonore Gewessler.

The Economic Association is satisfied in any case: "The most comprehensive electricity market reform in two decades creates important structural adjustments to ensure affordable electricity prices and reliable supply in the long term." Approval also comes from the Chamber of Labor: "The new Electricity Industry Act lays a central foundation for a socially just energy transition."

The ÖGB stated: "It is good that the law has finally been passed - people need planning security regarding energy prices." And the IG Holzkraft also welcomed the agreement on the Electricity Industry Act - after years of delays.

E-Control Wants to Review Details

And what does the responsible authority E-Control say? "We are very pleased that it has been possible to finally bring the law on its way after such a long time. After all, it represents an important basis for transforming the energy system in a long-term and sustainable manner. At the same time, the internal electricity market directive from 2019 is finally being implemented in Austria. We will now analyze the final law in detail, initial preparations for further implementation have already started," emphasized board members Alfons Haber and Wolfgang Urbantschitsch.

The network operator Austrian Power Grid (APG) also expressed approval. The newly created "rules of the game" enable the system-secure integration of renewables and the digitization of the entire electricity system.

(APA/Red)

This article has been automatically translated, read the original article here.