Austria’s Supreme Court (OGH) has ruled that the electricity price increase by Verbund on March 1, 2023, was unlawful, marking a significant victory for consumers. The decision stems from a test case led by Peter Kolba, founder and honorary member of the Consumer Protection Association (VSV), represented by attorney Dr. Maderbacher, reported by “Heute”.
The court found that Verbund had no legal grounds to raise prices without a clear, pre-agreed mechanism in its general terms and conditions (AGB). Verbund had relied on Section 80(2a) of the Electricity Industry and Organization Act (ElWOG), a provision quietly added in January 2022 by the Green Party. However, the court rejected this interpretation, insisting that lawful price changes must be clearly defined in customer contracts.
This ruling affects both long-standing customers and those under basic supply contracts. As a result, Verbund may be required to refund all excess charges collected without proper contractual basis.
VSV, supported by litigation funder Padronus, had filed for injunctive relief, which paused the statute of limitations on refund claims. Consumers can still join VSV’s collective action, aimed at securing broad compensation.
“We hope Verbund will now work with us to resolve the issue fairly, rather than prolonging legal battles,” said VSV Chairwoman Daniela Holzinger.
This landmark verdict strengthens consumer rights and sends a clear message to utility companies: pricing practices must be transparent, fair, and firmly rooted in contract law.
Consumer Action: To join the refund effort, visit :
https://www.verbraucherschutzverein.eu/abhilfeklage-verbund/
