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Special Termination of an Electricity Contract After a Price Rise

Electricity price rise: what section 41 EnWG provides, when you can terminate and why an exclusion clause is ineffective according to the consumer advice centre.
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Contents

If your electricity supplier raises its price, the question of ending the contract early comes up quickly. Students and tenants in shared flats often have a contract they did not choose themselves, or one where the name on the contract and the person actually paying differ. This guide explains what the Energy Industry Act (EnWG) provides on price changes, what the consumer advice centre Verbraucherzentrale says about it, and what to pay attention to when you write.

Short answer: Under the Energy Industry Act, electricity customers must be informed in good time of a contract change and of their right to terminate (section 41(3) EnWG). According to the consumer advice centre, they can then terminate the contract at the time of the change. The consumer advice centre gives no fixed period in days. Last updated: November 2026.

The most important points

  • The duty to inform in good time about a contract change follows from section 41(3) EnWG.
  • Termination is tied to the moment of the change, not to a fixed number of days.
  • A clause excluding this special termination right for price adjustments is, according to the consumer advice centre, ineffective.
  • The Federal Court of Justice confirmed this right in its judgment VIII ZR 163/16 of 5 July 2017.
  • Terminating in writing, noting the date and keeping evidence is the safest route.

What does the law say about a price increase?

Electricity supply contracts with final customers are governed by the Energy Industry Act. If a supplier changes the contract, for example through a price increase, it must inform the customer in good time under section 41(3) EnWG. According to the consumer advice centre, that information also includes a note on the right to terminate.

The law therefore requires two things: timely notice and a reference to the right to terminate. If either element is missing, the letter deserves a careful check. The consumer advice centre explains that customers can terminate the supply contract at the time of the change after being informed.

What does the consumer advice centre say about deadlines?

The consumer advice centre names no concrete period in days or weeks. What counts is the moment the change takes effect. The termination right is tied to that moment, so the date in the supplier’s letter should be read precisely. A termination sent before the announced date of change is therefore the safer option.

It is also worth watching for timely information, since the right to terminate is linked to it. Note the date of the letter and the date of the change in your calendar so that nothing is missed.

Is an exclusion in the contract valid?

No, at least according to the consumer advice centre. The page is titled “Exclusion of the special termination right for price adjustments is ineffective” and cites the reasoning of the Federal Court of Justice. A contract that excludes the right does not lose this rule automatically, but according to this presentation the clause itself is ineffective.

Nevertheless, read your contract yourself. Many contracts contain passages on price adjustments that look complicated at first sight. A question to the supplier can bring clarity before you terminate.

Which situations occur in practice?

The table below assigns typical situations to the statements found in the sources reviewed. It does not replace an individual check.

SituationWhat the source saysWhat you can do
Price increase with letterCustomer must be informed in good time and can terminate at the time of the changeCheck the date and deadline in the letter, then terminate in writing
Notice of the termination right is missingThe information on the termination right is part of the duty under section 41(3) EnWGAsk the supplier in writing for clarification
Contract excludes special terminationExclusion for price adjustments is ineffective, per the consumer advice centreName the exclusion and refer to the case law
Termination without a price increaseThis rule concerns price adjustments and not every terminationCheck the contractual notice periods

How do you terminate correctly?

Termination should be in writing so that you can prove it. Use a route that leaves a date, and keep a copy. Name the contract number, the address of the supply point and the desired end date, which should follow the date of the change.

A note on shared households: anyone living together should make sure that only the person named in the contract terminates. In shared flats with several tenants, who holds the contract can decide who may terminate. That is a question of the contract itself and not of the law alone.

Step by step: how to act after a price increase

  1. Read the supplier’s letter completely and note the date on which the change should apply.
  2. Check whether the letter notes your right to terminate. If it does not, ask in writing.
  3. Compare the price change with your previous tariff and record the figures for yourself.
  4. Terminate in writing before the date of the change and keep the proof.
  5. Plan the switch so that no supply gap arises, and check the conditions of the new contract carefully.

Frequently asked questions about special termination of electricity

Can I terminate immediately after a price increase?

The right is tied to the moment of the change. When the supplier announces the change, you can end the contract at the time of the change. The source does not directly derive a termination before the change date, so read the letter carefully.

Does this also apply to gas?

The consumer advice page reviewed speaks of an electricity supply contract. Whether the same rule applies to gas is not explicitly described in that source. For a gas contract, check the wording of the letter and ask the supplier.

What happens after termination?

What happens after termination depends on your new contract. Avoid a gap in supply by planning the switch in good time. The consumer advice centre can help with questions about the procedure.

Do I need the supplier to justify the change?

According to the consumer advice centre, the termination rests on being informed of the change. A justification in your termination letter is not a requirement. A short reference to the price change helps, however, so that the matter can be clearly assigned.

What you should do now

  1. Keep the letter and the existing contract ready.
  2. Note the date of the change in your calendar.
  3. Terminate in writing in good time and keep the proof.
  4. If anything is unclear, contact the consumer advice centre before withholding any payment.

Related guides

Sources: Verbraucherzentrale, rulings: exclusion of the special termination right for price adjustments is ineffective (citing section 41(3) EnWG and BGH VIII ZR 163/16, 5 July 2017).

Last updated: November 2026. This guide is general information, not individual advice.

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