Status: 09/13/2022 11:20 a.m
In view of the high energy prices, Chancellor Scholz has promised German companies further support. Economics Minister Habeck also wants to make the energy cost subsidies accessible to craft businesses.
Chancellor Olaf Scholz has promised the companies an expansion of the aid measures against high energy prices. “We are working flat out to expand the existing programs,” said Scholz at the Employers’ Day in Berlin.
The Chancellor also encouraged companies to make special payments to their employees because of the high energy prices. “The federal government has decided to exempt such additional payments of up to 3,000 euros from taxes and social security contributions if employers and unions agree,” he said. “I would like to expressly encourage you to do so.” The background is that the government wants to use the so-called concerted action to ensure that companies also make a contribution.
Sufficient LNG terminals by the end of 2023
Scholz was confident that by the end of 2023 Germany would have enough LNG terminals to import the necessary gas. He referred to the construction of liquid gas terminals in Stade, Wilhelmshaven, Brunsbüttel and Lubmin, for example, but also to pipeline deliveries from Norway and the Netherlands, for example. Scholz emphasized that the government will ensure that the gas price falls again.
At the same time, he said that the import of LNG gas will not change anything about the necessary and rapid energy transition. “Hydrogen is the gas of the future, we will trigger a big boom.” For the expansion of renewable energies, the traffic light government will pass all the necessary laws, such as planning acceleration, in 2022.
Economy cares about competitiveness
In view of the gas crisis and high inflation, Employer President Rainer Dulger considers a recession to be likely. “In view of the current situation, the German economy is very concerned about the competitiveness of Germany as a business location,” he said at the employers’ day.
The local economy is fighting against a dramatic economic situation, immensely high energy prices and severe supply bottlenecks for raw materials, preliminary products and other goods. But she has already proven several times that she can be an anchor of stability for Germany and Europe. “And this is exactly the signal we want to send out today and in the future. If we strengthen the economy, then we will strengthen this country and secure jobs,” said the head of the Confederation of German Employers’ Associations (BDA).
Employer president calls for rapid state aid
Dulger had previously im ARD morning magazine rapid help from the state for employees and companies demanded. “We need the help of the state, we need it in some places, it has to be targeted and it has to be quick,” he said.
Employees and companies must be relieved so that energy remains affordable. Answers are needed to make light visible again at the end of the tunnel. According to Dulger, employers and unions alone cannot solve the problems caused by the rapidly rising inflation. The middle class must be protected.
Rainer Dulger, President of Employers, on the burden on companies from high energy prices
Morning magazine, September 13, 2022
“Fighting Causes”
Workers needed “more net from the gross” to resist inflation. At the same time, medium-sized companies must be protected, Dulger said. “The state has to act here now, and it has to act quickly because – there are many at the moment who are running out of perspective, who are also running out of breath.”
The state must concentrate on fighting the causes and not alleviating the symptoms, according to the employers’ president. The reason is energy prices. Taxes on “random profits” are the wrong way. In view of the exorbitant prices, a change in the “energy price formation system” and sensible pricing are necessary, Dulger demanded. For this, solutions would have to be found quickly at European level. After many summits, it must now be delivered: “And the delivery note doesn’t say enough.”
After mini-growth in the spring, many economists believe the signs are pointing to a recession. The Ukraine war and the associated energy crisis threaten to stall the economic engine. The boss of the chemical group Lanxess, Matthias Zachert, recently warned that companies in key industries would have to close in rows if energy prices remained high.
Habeck wants to expand energy cost subsidies
Federal Economics Minister Robert Habeck wants energy-intensive medium-sized companies to receive new subsidies for their gas and electricity costs as quickly as possible. “Now it is crucial how quickly we in the federal government can come to an agreement and quickly get the implementation underway,” he said. The grants could also be granted retrospectively from September.
The Greens politician has invited around 40 small and medium-sized business associations to a digital summit, where the main focus will be on expanding the current rescue package. Habeck wants to open up existing funding instruments in such a way that the skilled trades also benefit. Medium-sized companies from all sectors of the economy, which are severely affected by rising energy costs, should be able to receive grants more easily.
According to the plans, the energy cost reduction program, which was previously aimed at industry, should also be accessible to trade and the service sector. The program supports companies that cannot pass on sharply increased energy costs to their customers due to international competition.
The more a company is affected by the high energy costs, the higher the subsidy should be. However, the state cannot compensate for every increase in costs, emphasized the Ministry of Economic Affairs. In addition, an incentive must be set to save gas. Habeck also wants to extend the grants until at least April 2024 and is therefore holding talks with the EU Commission.