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Apr 25 2007

Compensation demand for electric conversion – Sweden

Natural Gas Customers are demanding compensation for a forced conversion to electric service

Large parts of the Göteborg Energi AB (Gothenburg Energy company) city gas net is going to be shut down within a couple of years. Over 10 000 apartments before then has to get their kitchen stoves, heating systems and so on replaced. The cost for this is estimated t around 30 000 crowns per apartment. This will mean a several millions investment for private properties.

Yesterday Private property owners and condo owner associations sued Göteborgs Energi AB, because they feel entitled to better compensation now that the city gas is being turned off.

Göteborgs Energi AB have said that they will compensate each customer with between 2500 and 6500 crowns.

Real estate owners are now furious with Göteborgs Energi, the level of compensation is far from reasonable.

A spokesperson for the Gothenburg Energy company says that they are not by law obligated to deliver city gas and they have no obligation to pay any kind of compensation when there is a conversion going from gas to electricity.

85 000 customers have already converted to electricity, voluntarily and with no compensation. Therefor the company doesn’t want to treat these 10 000 people who will be converting in a few years any differently – it wouldn’t be fair to those who already are off the gas net.

The spokesperson welcomes the case being brought to court, maybe an unbiased eye can determine whether the Energy Company have done wrong or now.


Swenglish Rantings Radio – 070425

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