Kerstin Maria Rippel, Managing Director of the German Steel Federation (WV Stahl), commented on the issue, stating that while the pressure to reduce costs is understandable, the reduction in funding under the KTF should not lead to the reversal of the energy price reductions recently introduced by the federal government in 2027.
Concerns over cuts to grid subsidies
Rippel particularly highlighted the planned 15% reduction in the budget subsidy for transmission network costs, recalling that the rapid increase in grid fees had recently been brought under control and that levels had been reduced back to 2023 levels.
Rippel stated that the planned cuts would jeopardize this progress, adding that for the German steel industry alone, this would mean approximately EUR 50 million in additional annual grid costs, equivalent to around a 20% increase in costs.
"EUR 6.5 billion support must be maintained"
Rippel stated that budget cuts would also undermine the federal government's goal of creating internationally competitive electricity prices for energy-intensive industries in Germany.
Emphasizing that their demands were clear, Rippel said the EUR 6.5 billion budget subsidy should not only be fully maintained but also reliably stabilized in the coming years.
Rippel also called for additional steps to bring electricity costs down to internationally and European competitive levels. Referring to the flexibility provided by the European Commission this year to partially support industrial electricity prices through an electricity price compensation mechanism, she said this option should be considered at the national level.
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