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Gruff amongst municipalities compelled to change to a new fuel supplier

Until eventually this 7 days, the Ministry of Financial state and Climate has insisted that public establishments terminate their current contracts with Gazprom by October 10 at the newest. According to EZK, this is an obligation ensuing from European sanctions.

Not a cent in Moscow

But that reading is beneath appreciable pressure. The Dutch department of Gazprom with which municipalities and other establishments have a contract is component of Gazprom Germany, and which is now controlled by the German federal government. He swears that not a cent much more flows in Moscow.

In the meantime, Minister Jetten is no more time so certain, and has promised to acquire more facts from the European Commission on how to interpret the regulations. Until eventually January 1, every single general public physique will consequently acquire an exemption to make it possible for the continuation of the existing deal, he wrote this week to the Property. But for quite a few municipalities that information will come also late: they have presently signed a substantially much more pricey gasoline agreement, due to the fact the ministry experienced to do it.


grumpy

“This qualified prospects to displeasure in the municipalities,” states Jaimi van Essen, councilor for Losser, Twente. On behalf of eleven municipalities in Twente and some community establishments, it negotiated a new vitality deal to switch the existing contract with Gazprom.

The new agreement with Vattenfall was to be awarded no later on than 2 September, but already at that time there were uncertainties that EZK’s interpretation of the rules was not also strict. “We asked ourselves quite a few instances: is that however the place of the ministry? The response has remained ‘yes'”. Van Essen also experienced personal contact with Minister Jetten, but that did not modify the answer.


“As a outcome, we had no decision but to settle for the costly offer.” Van Essen calls it “really severe” that a number of days later a letter was despatched to parliament in which the ministry has retraced its actions in any case.

If it turns out that Brussels is of the belief that contracts with Gazprom the Netherlands, now known as SEFE, should not be terminated, Van Essen hopes for knowing from The Hague and payment. For the reason that under the phrases of the new agreement, municipalities are about 4 occasions much more high-priced.

Throat knife

The municipality of Baarn accepted this proposal. “We have not obtained a real looking offer you,” states councilor Steven de Vries. What was there was a “throat knife providing,” as he phone calls it.

In the very last three months of the year, the municipality is expected to start paying out what it now pays in a total yr. In truth, this is equal to quadrupling the municipalities of Twente. “This went also significantly for us,” said De Vries. He is hence delighted that the municipality has been supplied a minor more time.


In Twente this is tens of millions of euros of community dollars, which the municipalities would relatively invest on other issues than on an unnecessarily expensive electrical power deal. “If it hasn’t proved necessary, then it’s terrible income. And we would rather not shell out lousy revenue,” says Van Essen.

The Frisians are on their own electricity suppliers

And it is not only in Twente that individuals can be victims of the Economic Affairs Decree. A partnership of seventeen municipalities in Friesland will buy the gasoline alone and distribute it to community authorities. “We grow to be suppliers ourselves”, states director Isotta den Haring.

The Frisians can nevertheless come to a decision following week to make the present agreement exist and to put the new options on hold, Den Haring claims. But if the nearby administrators are persuaded that they have to do the shopping themselves, it will expense the Frisian taxpayer 9 million euros additional.


11 million a yr

The municipality of Utrecht has also been frantically hunting for a new vitality provider and citizens are paying a hefty bill there also. Prices are escalating by 11 million euros per 12 months. The gasoline price that the municipality pays to Greenchoice is even 10 moments increased than the outdated contract with Gazprom.

But as considerably as the municipality is concerned, it is continue to way too early to seek out payment from the govt. Just before that, Utrecht wishes to await the judgment of the European Commission.


Swift clarity

Minister Jetten questioned the European Fee to give clarification ‘as before long as possible’ on the applicability or usually of the sanctions to the SEFE. He writes that he understands that municipalities that have previously observed an choice supplier “have thoughts about it”.

But apart from waiting and hoping for compensation from The Hague, there is little that municipalities can do now. “The only weapon we have is producing structures more sustainable at an accelerated rate,” claims Van Essen. “We will do it as the wiedeweerga.”


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