Styria and Graz

Government now pushing for merger of energy companies

A remarkable move by the Styrian ÖVP-SPÖ government: it is proposing a merger between Energie Steiermark and Energie Graz. However, this would require the approval of the communist-run city of Graz.

While answering an urgent question from KPÖ member of parliament Werner Murgg in the provincial parliament, Governor Christopher Drexler (ÖVP) launched an unexpected initiative: he could imagine a merger of Energie Steiermark with Energie Graz and proposed talks on the subject. Murgg had previously only urged a merger of the respective district heating divisions - as did the provincial audit office recently.

Energie Steiermark has been wholly owned by the province again since last year: At the time, the province put more than 500 million euros on the table for the remaining 25 percent. Energie Steiermark also holds 49 percent of Energie Graz, but the majority (51 percent) is in the hands of Holding Graz, i.e. the City of Graz.

90,000 customers in Graz are at stake
Talks about merging the district heating divisions have been going on for some time. However, they were terminated last year - because the project was not supported by the City of Graz, says Drexler. The supply and distribution of district heating in the greater Graz area (around 90,000 customers) will therefore remain split between two companies.

The provincial governor and his deputy Anton Lang from the SPÖ: "Our hands are stretched out towards the city hall. We invite the mayor of the provincial capital Graz (Elke Kahr of the KPÖ, note) to conduct sensible negotiations together and to enter into serious talks immediately. In any case, our aim is to exploit all synergies for the benefit of our customers and we hope that this is also in the interests of the Graz city government."

District heating price to fall soon
Speaking of the district heating price for Graz: this is to be reduced before the next heating season, ideally as early as October. Time is of the essence. The tariff is set by a price authority at the state level, and the decisive report should be available in the next few days, according to Drexler.