DIHK warns of a drastic increase in electricity prices for companies in Germany - what that means for the economy

DIHK warns of a drastic increase in electricity prices for companies in Germany - what that means for the economy

According to a report by blackout-news.de, the German Chamber of Commerce and Industry (DIHK) warns that the budget decisions made by the traffic light coalition could lead to a significant increase in electricity prices for companies. This measure could harm the economic recovery and slow down much-needed environmental change in the industry.

The drastic increase in electricity prices could put a strain on numerous companies in Germany, as many of them have plans to convert their production and fleets from fossil fuels to electrical energy. A rise in electricity prices could undermine these efforts as the cost of diesel and kerosene rises at the same time. The decision to no longer subsidize transmission network fees is expected to lead to a significant increase in electricity prices for companies in almost all industries and sizes. This could not only put a strain on the economy, but also slow down environmental change.

Despite the concerns, the DIHK recognizes the federal government's efforts to present a budget for 2024. However, she emphasizes that many factors could contribute to rising costs for companies in Germany. A bright spot are the measures that could cushion the effects of the increase in electricity prices on the economy, such as financing the EEG surcharge from the state budget and reducing the electricity tax for manufacturing companies.

Overall, German companies face the challenge of adjusting to higher electricity costs while continuing their efforts to switch to more environmentally friendly energy sources. It remains to be seen how the government and business will respond to these challenges and what impact this will have on Germany's long-term competitiveness.