Enefit: the changed VERT position may cost us 51 million. Eur, we will go to court

mon will apply to the Supreme Court of Lithuania, asking the court to evaluate the inconsistent actions of the statutory regulation and the supervisory authority. The court will also have the opportunity to apply to the EU Court of Justice for the proper interpretation of the EU directive, the supplier announces.

We decided to apply to the Supreme Court of Lithuania in order to have the court assess not only the legal regulations, but also the inconsistent actions of the Ministry of Energy and Energy in interpreting the law. Businesses and consumers must agree with the existing regulations, so until now we trusted the statements of the responsible authorities regarding the application of legal acts. This allowed, in the face of the energy crisis, both private and business customers to obtain long-term electricity supply contracts at the best prices in the market and at the same time invest in the development of renewable energy. Unfortunately, the unstable regulatory environment and the political stance that became more active before the elections not only caused confusion in the market, but also generated direct losses for market participants every day, Vytenis Koryzna, head of Enefit, is quoted in the report.

It was previously announced that in the event of a dispute between an independent electricity supplier and a consumer, the contract terminated due to fines, the State Energy Regulatory Council (VERT) will try to resolve the dispute peacefully, however, if the suppliers refuse to pay the money, VERT will defend the consumer’s rights in court, says Renatas Pocius, head of VERT .

In particular, we will ask three independent suppliers to submit their decision within a week, whether the supplier intends to justify these discounts or not, because we, first of all, want to solve the issue in a civilized way, to appeal to the suppliers themselves, with goodwill, to appeal to consumers and to justify the money that was collected not I’m absolutely right, tell LRT radio R. Pocius.

In addition, V announces that the Lithuanian Court of Appeal left the decision of the Vilnius District Court unchanged in 2023. decision taken at the end of December, confirming that the independent electricity supplier UAB Enefit, which terminated the electricity purchase agreement with UAB FishNet without reason, demanded to pay more than 1 mln. Eur.

It cannot be ruled out that the court’s decision may shape further decision-making practices regarding the termination of the agreement.

According to Enefit, such losses are caused by the termination of a valid long-term customer agreement earlier than the end date specified in the contracts. Customers chose such contracts when electricity prices were high, in order to manage the risks of future electricity price growth. If the customer partially refuses the obligation and the electricity supplier does not anticipate the cost of electricity reservation and price fixing, the company suffers direct losses, which were also informed by VERT.

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After months, Enefit residents with long-term electricity supply plans will receive a 100% discount on the reservation fee stipulated in the contracts. The solution is adapted to all private Enefit customers who sign long-term 6- and 7-year contracts until 2023. April 1

We take the position that, in accordance with the Civil Code of Lithuania and without prejudice to EU law, we have the right to demand at least direct compensation for losses to business customers after premature termination of electricity supply contracts. It is especially clear that such losses occur due to the supplier having to purchase an insurance policy that protects customers from the risk of price fluctuations, and due to the fact that we have to sell the unused quantities back to the customer at much lower prices. We will also seek to have the Court of Justice of the European Union assess the situation in Lithuania, according to its competence, comments V. Koryzna.

According to him, if the Lithuanian courts decide that the fees stipulated in the contracts could not be applied to Enefit customers, they will seek to compensate the resulting losses by the responsible institutions that have misled the participants of the electricity supply market by making irresponsible assessments and providing misleading conclusions about the electricity construction of the Republic of Lithuania. and compatibility of EU directives with Enefit’s contractual terms.

According to the company, in the type of contracts chosen by Enefit’s business clients, both in accordance with commercial practices and in accordance with the principle of mutuality in the performance of contracts, the party must compensate for direct losses caused by premature termination of the contract. It is important that the contracts were concluded and discussed between the two business entities, and the consequences of terminating the contract were known to the customers in advance. Such practices and conditions of agreement are poor and are applied in Latvia, Estonia and other European Union countries.

According to the head of the company, despite the situation, the company continues to keep its commitments to developers and seeks to invest in renewable energy solutions.