That’s why the economy wants it to be abolished

Call for help from the bakery

Because of the enormous increase in energy costs, many companies see their existence threatened.

(Photo: dpa)

Berlin Federal Minister of Economics Robert Habeck (Greens) wants to introduce the gas surcharge. On Wednesday he said he had found a legally secure solution to remedy the technical errors that had been criticized. A way had been found to shake off free riders.

From the point of view of industry and medium-sized companies, the decision is wrong. They argue that the gas surcharge will nullify all the federal government’s relief for the economy and damage the substance of the company.

Rainer Kirchdörfer, Chairman of the Foundation for Family Businesses and Politics, warns: “We need effective relief from energy prices quickly. The gas allocation must be stopped immediately.”

It leads to a further increase in costs for companies. Feedback from family businesses showed that the federal government’s aid programs were far too small. “Even companies that have submitted applications for the energy cost containment program will not be relieved,” said Kirchdörfer. In most cases, the financial aid is less than the additional burden of the gas surcharge.

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The Energy Cost Reduction Program (EKDP) is one of the central instruments with which the Federal Government intends to reduce the burden of high electricity and gas prices. But the program does not compensate for the burdens caused by the gas surcharge.

A case study from the industry

The representative of an industrial company with 4,000 employees and a turnover of 330 million euros, who does not wish to be named, calculates: Compared to 2019, he expects energy costs to increase sixfold from eleven to 60 to 70 million euros in 2023.

Robert Habeck

Federal Minister of Economics Robert Habeck (Greens) wants to introduce the gas surcharge.

(Photo: Reuters)

In a comparison between 2019 and 2022, energy costs are already three times higher. According to the information provided, the company will receive funding of 300,000 euros from the EKDP for the current funding period from February 2022 to September 2022 to compensate for the increased energy costs.

At the same time, however, the gas surcharge will be introduced, which, according to the company representative, causes additional costs of around four million euros per year at the current level. “So the state didn’t relieve us, but instead put an additional burden on us,” complains the company representative.

Company representatives complain unanimously that they are being left out in the rain with the drastically increased energy costs. Against this background, the danger of de-industrialization appears greater than ever before.

Energy-intensive industrial sectors are particularly affected, but so are craft businesses such as bakeries. Companies perceive the gas levy as an extreme additional burden. It must be “urgently reconsidered and co-financed from the federal budget,” according to a recently published position paper by the German Chemical Industry Association (VCI). Market-relevant gas suppliers that have gotten into trouble should be “supported in a targeted and temporary manner with state holdings”.

gas pipeline

From the point of view of the industry, the gas levy would destroy all the federal government’s relief for the economy and damage the substance of the company.

(Photo: dpa)

In fact, with the planned nationalization of Uniper, the federal government is heading towards this solution. However, the gas surcharge should be retained.

Doubts about the gas surcharge

From the point of view of the Foundation for Family Businesses, however, a quick cancellation of the gas levy is necessary. “We urgently need measures so that companies in Germany can produce at internationally competitive prices,” said Kirchdörfer.

Lawyers are also reporting doubts about the gas surcharge. According to Hanno Kube, a Heidelberg constitutional lawyer, it is not certain whether the gas surcharge would stand up to constitutional scrutiny.

“In the current situation, it seems to be becoming increasingly clear that other forms of state support are required, be it direct grants or even nationalization,” Kube told the Handelsblatt. In the opinion of the expert for the financial constitution, the new situation calls into question the “proportionality of the gas levy”.

Habeck also sees this problem. Therefore, a financial constitutional review is being carried out in the relevant departments of the federal government, Habeck said on Tuesday. At the same time, he said that his house had given improvements to the gas levy in the departmental vote.

Habeck was criticized because the gas surcharge can also benefit companies that have recently made high profits. The gas surcharge is to be levied on all gas consumers in order to support gas importers who are no longer able to cope with the sharp rise in gas procurement costs.

More: Cold withdrawal of Russian gas – Germany is threatened with an emergency winter

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