28.03.2024
Source: Energy & Management Powernews
The German government is continuing and expanding electricity price compensation: Smaller companies are now also being considered.
The second part of the German government's electricity price package of November 9, 2023 is also being implemented with the funding guideline on electricity price compensation that has now come into force, the Federal Ministry for Economic Affairs has announced. The temporary reduction in the electricity tax for companies in the manufacturing industry as well as agriculture and forestry had already been decided by the legislator as of January 1, 2024.
The German Emissions Trading Authority (DEHSt) at the Federal Environment Agency, as the responsible enforcement authority, will start the application process at the beginning of April. Applications for electricity price compensation must be submitted by June 30.
The aim of electricity price compensation is to relieve the burden on the manufacturing sector, especially energy-intensive industry. According to the ministry, around 340 electricity-intensive companies that compete internationally currently benefit from electricity price compensation. This indirectly relieves them of the costs of CO2 emissions trading, which are incurred during electricity production.
The aim of the changes is to improve the conditions for claiming electricity price compensation. Specifically, there are two points:
- The so-called deductible of 1 million kWh will be abolished. This will, it is said, increase the relief effect and, above all, privilege smaller companies that have not previously received any electricity price compensation.
- The supplementary aid ("super cap") with the abolition of the basic amount will be extended by five years. This regulation provides relief for particularly electricity-intensive companies.
The new rules apply for the billing years 2023 to 2030 and replace the previous subsidy guidelines. The new funding is still subject to approval by the European Commission under state aid law. According to the Ministry of Economic Affairs, a final decision on the applications can only be made after this.
Author: Günter Drewnitzky
Accessibility
Language
