BNN Interview | Lawyer Stucka: everyone was deceived by the OIK – it’s time to hold someone accountable

The association “Tiesiskums.lv” (Justice.lv) announced yesterday (the 17th of June, 2025) a unique voluntary initiative in Latvia – to help every citizen and company recover the unlawfully collected mandatory electricity procurement component, known as OIK.

Why was such an initiative launched, how likely is it to succeed, where would the necessary funds come from, and how much compensation could each household receive? These and other questions are addressed in a conversation with sworn attorney and Doctor of Law, Artis Stucka.

You are one of ten highly qualified lawyers who have pledged to assist people in recovering the OIK payments in cooperation with the association “Tiesiskums.lv.” Why did you decide to participate in this process?

Justice is not a one-sided game that can be turned on or off depending on convenience. Every “ordinary” citizen must face legal consequences for violating the law, and claiming good intentions or ignorance of wrongdoing does not exempt them. If someone says they robbed the rich to give to the poor, they would still be punished. The OIK collection situation is similar.

The OIK scheme has been contrary to public interests and the principles of a democratic state from the very beginning. Latvia is a rule-of-law country governed by the Constitution, including Article 92, which guarantees everyone the right to defend their legal interests in a fair trial and, in the case of unjust infringement, the right to appropriate compensation. The OIK scheme represented an unjust infringement of rights, and to this day, no one – neither individuals nor legal entities – has received compensation for it.

But it’s no secret that governments are reluctant to admit their mistakes, especially when it means paying compensation. Aren’t you concerned about being targeted or challenged?

There’s a Latvian saying: “If you’re afraid of wolves, don’t go into the forest.” I expect resistance, possibly serious opposition. But as I said, justice is not a child’s game, turned on only when convenient.

Let me remind you that the European Commission recognized OIK as illegal state aid in 2017, citing a violation of Article 108(3) of the Treaty on the Functioning of the European Union. Latvia did not challenge this conclusion, and it remains in force.

The illegality of mandatory OIK payments is also supported by a statement from the Saeima dated the 10th of January, 2019, where the Ministry of Economics was urged to end the unfair regime serving particular interests. The OIK scheme has also been condemned by the parliamentary investigative commission. Anyone trying to “sweep this under the rug” will not succeed.

The press release from “Tiesiskums.lv” estimates that an average household might recover around 2,000 euros. How was that number calculated?

That’s an estimate based on my household’s electricity bills in an apartment in Riga.

Over 18 years, every electricity consumer in Latvia was forced to pay the OIK – roughly 40,000 legal entities and 920,000 households. For everyone, electricity bills were about 20% higher due to OIK; in some months, OIK accounted for up to 35% of the total bill. In total, residents paid around 2 billion euros. Naturally, the amount to be recovered depends on how much each household or company paid over the years.

How do you plan to obtain detailed data on each household’s electricity bills over such a long period? Surely people haven’t saved all their old invoices.

Once a contract is signed with “Tiesiskums.lv,” the association will be able to request the necessary information from electricity suppliers to determine the amount owed to each signatory.

Contracts can be signed electronically via the “Tiesiskums.lv” platform or in paper form. The association will also hold forums across Latvia where residents can meet with the lawyers, ask questions, and sign contracts. The first forum will take place on the 5th of July in Liepāja. More dates will be announced. People can also request a forum in their municipality by registering in the “manual registration” section of the website with their name, phone number, and location. Once enough people from a region sign up, we will go there.

Contract signing will continue until the 1st of October. After that, “Tiesiskums.lv” will begin legal proceedings to secure compensation for all registered individuals and companies. Only natural persons who held electricity supply contracts during the OIK period will be eligible for compensation.

Where would the money for the compensation come from?

There are several possible solutions, and I’d prefer not to speculate too early. However, justice would require that the state company that received the lion’s share of OIK payments pay it back.

What about legal and administrative costs – who will pay the lawyers?

“Tiesiskums.lv” will cover legal fees. A symbolic share of the recovered funds will be withheld only after a successful outcome. No fees will be charged to pensioners, low-income individuals, or people with first-level disabilities. The same applies to members of the Latvian Trade Union of Education and Science Employees (LIZDA).

What makes you believe OIK payments can be recovered?

This is not a dream or fantasy. It’s a legal mechanism known as a collective action process, widely used in democratic countries. Europe has seen several similar cases regarding unjustified electricity charges. For example, in Portugal, state-guaranteed schemes led to excessive payments to producers. The European Commission demanded an investigation, and courts ruled in favor of consumers. Similar cases have occurred in Germany, Spain, Italy, and Lithuania.

Finally, this is not an individual issue. It’s a systemic injustice affecting a large part of Latvian society. If we want meaningful compensation, we must unite. The more people participate, the harder it will be to ignore this issue or dismiss OIK payments as a minor misunderstanding.