Rebates save German industry eight billion euros in power costs in 2017
Spiegel Online
Preferential treatment of energy-intensive industries in Germany聽 cost households and non-privileged companies up to eight billion euros in 2017, Stefan Schultz on Spiegel Online. The industry rebates on power costs granted to companies like ThyssenKrupp, ExxonMobil or Deutsche Bahn, which have a high energy use and compete on the world market, means these companies make a smaller contribution to renewable energy expansion and grid modernisation that has to be compensated for by other power customers through a higher surcharge on their power bills, Schultz writes. Green politician Oliver Krischer has called the German rebate system a 鈥subsidy jungle鈥 and says that the country鈥檚 planned coal exit must not lead to even more rebates for the industry. 鈥淭hat would be a slap in the face of power customers,鈥 Krischer said.
Relieving companies from financial burdens to the fossil fuel鈥檚 phase-out is part of the proposal tabled by Germany鈥檚 coal exit commission. According to the commission鈥檚 report, 鈥渁ccompanying measures for limiting power prices鈥 are necessary to keep energy-intensive industries competitive.