Definition and Legal Classification of General Supply Conditions
General Supply Conditions (AVB) are industry-specific, standardized contractual terms used by utility companies in Germany for the supply of electricity, gas, water or district heating. They comprehensively regulate the legal relationship between utility companies and end consumers and apply in particular within the framework of so-called basic services. The legal foundations for the application and design of the AVB can be found mainly in the relevant laws and regulations in the field of energy and water law, especially in the Energy Industry Act (EnWG) and the related regulations such as the Electricity Basic Supply Ordinance (StromGVV), the Gas Basic Supply Ordinance (GasGVV), and the Ordinance on General Conditions for the Supply of Water (AVBWasserV).
Legal Basis of General Supply Conditions
Statutory Regulations
The general legal admissibility and the requirements for the drafting of General Supply Conditions are determined in particular by:
- § 29 EnWG (Competence of regulatory authorities for reviewing conditions and charges)
- StromGVV, GasGVV and AVBWasserV as specific ordinances for the respective supply sectors
- German Civil Code (BGB), especially the provisions on General Terms and Conditions (§§ 305 et seq. BGB)
- Further relevant energy and water law provisions
Basis and Legal Nature
General Supply Conditions are classified as General Terms and Conditions within the meaning of §§ 305 et seq. BGB. They are pre-formulated by the utility companies and presented to each contractual partner without individual negotiation. Therefore, they are subject to the content control of the BGB and must, in particular, be transparent, comprehensible, and consistent with the essential legal model. In particular, clauses that unreasonably disadvantage consumers are invalid.
Content and Scope of Regulation in the General Supply Conditions
Contract Commencement, Content and Duration
General Supply Conditions specify when and how the supply contract is concluded, what rights and obligations exist for both parties, how long the contract lasts, and how it may be terminated if necessary. They contain regulations on supply security, obligations regarding acceptance and payment for the supplied energy or water, as well as the modalities of termination.
Prices, Price Adjustment Clauses and Payment Terms
The AVB contain provisions on prices, their calculation, and due dates. Central aspects regulated include the conditions and procedures for price adjustments, particularly for basic supply tariffs. Provisions for this can be found mainly in § 5 StromGVV or § 5 GasGVV as well as § 4 AVBWasserV. Price changes must be announced transparently and justified; in the event of unilateral price increases, the customer generally has a special right of termination.
Supply Quality and Interruption
Within the AVB, requirements for the quality and reliability of supply are described. In addition, the powers and conditions for the temporary interruption of supply, for example, in the case of customer payment default or disruptions in network operations, are regulated. Utility companies are subject to strict notification and communication requirements in such cases.
Obligations and Participation of the Customer
The AVB typically require customers to make timely payments, permit meter readings, use the supplied energy or water properly, and report faults or damage to the customer installation. There may also be obligations to enable access for maintenance and inspection purposes.
Liability, Damages, and Dispute Resolution
The liability provisions of the AVB are especially bound to the statutory requirements of the BGB. Exclusions and limitations of liability must not unreasonably restrict consumer interests. The AVB frequently also contain rules regarding notification obligations in case of disruptions and procedures for resolving disagreements, for example through mediation procedures according to § 111b EnWG.
Significance and Scope of Application
Basic Supply and Special Contracts
In the case of basic supply, the AVB apply mandatorily. For so-called special contracts, which include different terms and conditions, the AVB regulations often do not apply or only apply partially. However, special contracts are also subject to the general AGB (General Terms and Conditions) control under the BGB.
Consumer and Entrepreneur Protection
The inclusion and structuring of the AVB primarily serve to protect consumers by setting standards in supply and contract design. Rules regarding information requirements, transparency, and termination rights strengthen the legal position of customers.
Supervisory and Approval Procedures
Review by Regulatory Authorities
The respective competent energy and water supply authorities—especially the Federal Network Agency—review whether the AVB comply with statutory requirements. In particular, no abusive conditions or unreasonable disadvantages for customers are permitted (§ 30 EnWG).
Judicial Review
If there are disputes about the validity or interpretation of individual clauses, the final review lies with the courts. Courts, especially the Federal Court of Justice, have often issued fundamental decisions on certain AVB provisions, thereby clarifying their transparency and admissibility.
Developments and Reform Efforts
In the course of liberalization and digitalization of the energy markets, the AVB are continually adapted to new market conditions and consumer requirements. Legislative developments, for example in data protection, consumer information rights, or in connection with smart metering systems, regularly lead to amendments and new versions of the rulebooks.
Literature and Further Resources
Many standard works, commentaries, and academic treatises refer to the comprehensive legal significance of General Supply Conditions in German supply law for deeper study of the topic. Relevant court rulings and recommendations from the Federal Network Agency, the Federal Ministry for Economic Affairs and Climate Action (BMWK), as well as pertinent consumer protection portals provide further information and guidance.
Conclusion: General Supply Conditions are central, legally binding sets of rules in the field of energy and water supply. They provide transparency, consumer protection, and legal certainty both for utility companies and for customers and are subject to strict oversight by legislation, regulatory authorities, and courts. Their design and ongoing development remain an essential element of the public and civil law-based utility sector in Germany.
Frequently Asked Questions
What role do General Supply Conditions play in the relationship between energy supplier and end customer?
General Supply Conditions form the legal foundation for the contractual relationship between energy suppliers and private end customers. They uniformly regulate the rights and obligations of the contracting parties, especially for electricity and gas deliveries. These conditions are generally determined by ordinances, for example the Electricity Basic Supply Ordinance (StromGVV) and the Gas Basic Supply Ordinance (GasGVV), and apply automatically unless a special contract has been concluded. In the legal context, the General Supply Conditions ensure transparency and reliability of the supply relationship by defining, for example, provisions on the start of supply, contract duration, charges, payment modalities, readings, possibilities of interruption, rights of termination, and contract termination. They also provide the legal basis for enforcing claims in case of breaches of duty such as late payments or deficient supply. Amendments to the General Supply Conditions are subject to strict legal requirements and must be communicated to the customer in good time and in an understandable form so that the customer can exercise their right of termination if necessary.
How do changes to General Supply Conditions become legally effective?
Amendments to general supply conditions are subject to strict formal and substantive requirements under German law. Pursuant to § 5 of the StromGVV or GasGVV, suppliers must notify their customers of the intended changes in writing no later than one month before they take effect. The nature, scope, and reasons for the change must be clearly and understandably explained. At the same time, customers must be informed of their statutory special right of termination, which they may exercise if they do not agree to the changes. A change is only effective if these information obligations are properly fulfilled. If the requirements are not met, the modified conditions are not legally enforceable and the contract remains on the previous terms. Unlawful or surprising clauses may also be declared invalid according to the provisions of the German Civil Code (BGB; in particular § 307 et seq.), which also leads to the continued application of the previous rules.
To what extent are General Supply Conditions subject to judicial review?
The General Supply Conditions are subject to so-called content control under §§ 305 et seq. BGB. Courts review in particular whether individual clauses unreasonably disadvantage the customer or violate mandatory statutory provisions. This applies especially to contract components that have not been individually negotiated and may not unfairly alter the balance between price and service. If the General Conditions contain substantively unclear, non-transparent, or surprising clauses, these are declared invalid. The remaining contract terms generally remain unaffected. In addition to consumer protection organizations, customers are also entitled to seek judicial review of contract terms if affected.
What protective regulations exist in favor of consumers?
In Germany, consumers enjoy special protection within the framework of the General Supply Conditions due to various statutory provisions. In addition to the German Civil Code, this is based in particular on the StromGVV and GasGVV, which prescribe minimum standards for contract design. The most important protective provisions include the requirement for transparent pricing, the right to monthly billing, and the possibility of early termination in the event of contract changes. There is also a statutory ban on silent consent by fiction; in other words, changes to the contract do not become effective automatically through silence. Notice periods and disconnection options in the event of payment default are clearly and consumer-friendly regulated. Furthermore, there is a right to mediation in disputes regarding contract content and performance, which promotes extra-judicial settlement.
What obligations does the energy supplier have based on the General Supply Conditions?
The General Supply Conditions oblige energy suppliers to a number of statutory and contractual duties. This particularly includes the proper, uninterrupted supply of electricity or gas under the agreed terms, transparent billing, timely information about any changes to the contract terms, as well as compliance with data protection requirements. In the event of interruptions or disruptions they are required to promptly rectify the issue. In addition, they must comprehensively inform customers about their rights, especially regarding notice periods and price changes. If energy suppliers breach these obligations, customers may under certain conditions assert rights of withdrawal, reduction, or claim damages.
What are the consequences of the invalidity of individual clauses?
If a court declares one or more clauses in the General Supply Conditions to be invalid, only the affected clauses are void. The remainder of the contract remains binding if it is legally viable even without the invalid clause (§ 306 BGB). In practice, this means that the relevant statutory regulations apply instead of the invalid clause. For end customers, this means that impermissible restrictions of their rights or unreasonable obligations have no effect, and they can rely on the protection of legislation instead. Suppliers are therefore required to continuously adapt their General Conditions to current case law and legislation in order to avoid legal risks and restitution claims.
