Under the conditions of the current high electricity prices, some electricity sellers have switched their fixed contracts with business clients to contracts tracking stock market prices unliterally. Private consumers are not threatened by this surprising alteration, as the law doesn't enable such a situation to occur.
The Meresuu Hotel in the resort town of Narva-Jõesuu was taken by surprise by such an action, albeit prior to the record level prices emerging.
"We carried out a procurement, and Inter Rao Estonia won it. An electricity purchase agreement was concluded for two years. I won't go into the details, but it was the cheapest option for us. However, mid-way through 2021, we were informed that the contract will be terminated and we will be transferred to a stock market package," CEO of Meresuu Hotel Igor Baranov said.
The seller justified their decision with changes in the market situation.
Diana Jašina, CEO of Inter Rao Estonia, said that they do not comment on their customer agreements.
Large electricity sellers confirm that they will not unilaterally change their contracts with business customers, even though the market situation puts them in a difficult position.
Oil shale to energy company Eesti Energia confirmed that they will not terminate any of the agreements.
"We have realized risks that we may not have been able to foresee a year ago. At the same time, we have launched contracts for business customers to ensure a long-term stable situation based on wind energy - long-term fixed-price contracts for 5-12 years," the board member of Eesti Energia Agner Roos said.
Roos said that Eesti Energia wants to extend those agreements to private customers as well.
Energy company Alexela also confirms that they will not terminate the contracts unilaterally.
"For our part, we do not take this step on our own. If these things are done, in a situation where the contracts are about to expire, the customer will be notified of the changes 30 days in advance. The customer can choose what to do next," Alexa CEO Aivo Adamson said.
At the same time, Alexela can only enter into short-term contracts with private customers at a fixed price, as the customer can cancel the contract at any time, leaving the price risks to the seller.
Editor: Roberta Vaino