BERLIN (Reuters) – Germany’s largest residential landlord Vonovia will reduce heating for tenants in many of its apartments at night, as Europe’s biggest economy braces for a possible gas crunch with falling Russian fossil fuel imports.
The company, which owns around 490,000 apartments in Germany and heats apartments through various energy suppliers, will cut the heating output between 11 p.m. and 6 a.m. to 17 degrees Celsius, a spokesperson for the company said.
Tenants will be able to use their heating as usual during the day and in the evening hours, and the rationing will not affect hot water supply.
The reduced heating schedule will be rolled out gradually over the coming months and will be fully in place by the start of autumn.
The measure aims to save up to 8% of heating costs, the company added.
Tenants pay a fixed monthly amount for heating based on an annual estimate. At the end of each year, landlords can subsequently ask for additional money from tenants, or they pay a refund, depending on the real consumption and cost.
Sky-rocketing heating bills, in reflection of global rallies and shortages due to the Ukraine crisis, might mean tenants are handed giant bills early next year.
Vonovia, which has 55% of its heating system supplied by gas, said it was informing tenants that high energy prices will lead to increased additional payments in the foreseeable future.
Last month, Vonovia Chief Executive Office Rolf Buch said he expected rising energy prices to cost tenants the equivalent of up to two months’ rent.
Germany moved last month to stage two of its three-tier emergency gas plan after Russia reduced deliveries via the Nord Stream 1 pipeline – one step before the government will begin rationing fuel consumption.
The government said private households would be prioritised in the case of a gas emergency but has been appealing to the public and companies to cut energy consumption.
(Reporting by Matthias Inverardi and Riham Alkousaa; Editing by Miranda Murray and David Evans)
