Changing the electricity, gas and water supplier in an Italian condominio

A condominium utility supplier change concerns the electricity, gas and water contracts held in the name of the condominio for shared areas and services: stairwell, entrance hall, lift, water pump, courtyard, and any centralized heating system. With the liberalization of the energy market, switching supplier has become more common, usually to secure better economic conditions. But because these contracts are held by the condominio as a collective entity, the decision does not rest with a single owner, nor can the administrator make it alone: it follows a defined path of gathering quotes, informing the assembly and approving a resolution.

The shared utilities of a condominio

Condominium utilities are those serving the common parts, distinct from the private utilities of each individual unit. They typically include electricity for lighting the stairs and courtyard, for running the lift and any water pump, gas for centralized heating where present, and water for shared uses. The related meters are registered in the condominio's name and consumption is allocated among the owners according to the criteria set out in the bylaws or in the millesimal tables applicable to that service.

Who decides on the change of supplier

The decision to switch supplier for shared utilities is not an act of ordinary administration that the administrator can take unilaterally when it involves a discretionary choice among several operators with different terms. It is a decision that affects shared expenses and therefore requires a resolution of the condominium assembly. The administrator nonetheless plays an active role: gathering quotes, comparing them and presenting them to the owners with a report highlighting the pros and cons, so the assembly can vote with full knowledge of the terms.

Comparing quotes

Before bringing the matter to the assembly, it is good practice for the administrator to request several quotes from different operators, comparing not only the price of energy or gas but also the contractual conditions: contract duration, any early termination penalties, billing arrangements and ancillary services. A quote that looks cheaper at first glance can hide less favorable clauses over the long run, which is why the comparison should be conducted on a like-for-like basis and documented in writing, so it can be attached to the assembly notice.

The required majority

Resolving to change the supplier of shared utilities generally follows the majority required for acts of ordinary administration, since it is a management choice that does not alter the purpose or the consistency of the common parts. In practice the resolution is adopted with the ordinary majorities required for approving management expenses. The agenda should clearly state the item, allowing owners to arrive informed and to evaluate the quotes made available before the meeting.

The switching procedure

Once the switch has been resolved, the administrator proceeds with the transfer or activation of the new contract with the chosen supplier. Notice of termination must be sent to the previous supplier within the timeframe set by the existing contract, avoiding overlaps or supply interruptions, and the identifying data of the condominio, its tax code, the cadastral data of the systems, and the meter readings at the time of the switch must be provided to the new supplier. It is useful to keep copies of all correspondence and activation notices on file for the condominio.

Protections in case of service issues

During the transition between suppliers, temporary service disruptions or billing errors can occur, particularly when meter readings are not communicated correctly. In these cases the administrator is responsible for following up with the new supplier, promptly reporting any anomalies and keeping the documentation needed for any complaints. The costs of a prolonged disruption, if attributable to negligence in handling the matter, can be challenged by the owners.

Informing owners of the outcome

After the new contract is activated, it is good practice for the administrator to inform the owners of the result of the operation, indicating the new economic terms applied and the expected effect on future shared expenses. This communication, together with the documentation kept on file, makes it possible to report transparently on the savings achieved, or in any case on the change made, when the annual financial statement is approved.

Keeping track of shared utility contracts, the quotes collected and termination deadlines is easier with dedicated condominium management software. AmministraPro lets you archive quotes, track contract deadlines and share utility documentation with owners: you can see how it works on the features page or compare plans in the pricing section.