Amsterdam social housing firms stop heat network connections over high Vattenfall prices

Amsterdam housing associations will no longer connect homes to heat networks for the time being, a spokesperson for the Amsterdam Association of Housing Associations (AFWC) confirmed this after an article in De Volkskrant. According to the housing associations, the energy supplier Vattenfall has not complied with the relevant price agreements.

According to the AFWC spokesperson, Vattenfall increased the fixed costs for district heating by more than 30 percent to around 800 euros per year at the beginning of the year. "We were surprised by the price increase," the spokesperson said. "Affordability is very important. It can't be the case that residents can no longer afford their living costs because the tariff have become so high. Then we will choose a cheaper option than district heating."

When renovating and insulating apartments, housing associations may therefore be forced to install central heating boilers again, the AFWC stated.

A spokeswoman for Vattenfall said that the cost of district heating has risen because energy prices have changed due to the energy crisis. Talks were held with the housing associations after Vattenfall was informed that the costs were too high. The energy supplier explained that it wanted to reach an agreement with the companies. "We understand that it becomes more difficult for the companies when costs rise, which is why we have also put a good offer on the table."

“That was absolutely not the agreement. Sustainability should not come at the expense of affordable housing. And certainly not for the lowest incomes. We have discussed this with Vattenfall, the municipality and the government. Unfortunately we did not reach an agreement. That is why we have been forced to take the decision to temporarily discontinue the switch to district heating where possible," the AFWC said in a statement.

The Vattenfall spokeswoman explained that according to previous agreements between the parties, the fixed costs for district heating would be borne by the housing associations and expressed her disappointment at the halt to the heating network connections. "This is extremely regrettable. District heating is the most efficient solution for getting a large number of households off the gas in urban areas.”