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Energy-intensive industries in Germany call for stronger industrial electricity support under the CISAF framework

The Association of Energy-Intensive Industries in Germany (EID) has urged the government to push for a more comprehensive and long-term design of the EU’s new electricity price support mechanism, the Carbon Inclusion Scheme for Affordable Electricity Framework (CISAF), in order to preserve industrial competitiveness.

Energy-intensive industries in Germany call for stronger industrial electricity support under the CISAF framework

According to the association, wholesale electricity prices in Germany have doubled, while industrial output in energy-intensive sectors has dropped by more than 20%. EID argues that a competitive industrial power price between €40–60/MWh, including all taxes and grid fees, is essential to sustain production in globally competitive markets.

While acknowledging that CISAF represents the first EU-wide state aid framework for energy-intensive sectors, EID warned that the current design fails to meet its purpose due to its short duration (valid only until 2030, with a maximum of three years of support per company), low support rate (up to 50%), and narrow scope (limited to KUEBLL list A sectors).

EID called on the German government to make full use of the flexibility provided by the EU framework and put forward the following key demands:

  • Extend CISAF coverage to include KUEBLL list B sectors.

  • Allow CISAF aid to be combined with the national energy price compensation scheme (SPK).

  • Include all electricity consumption under the support mechanism.

  • Implement monthly reimbursements instead of annual payments for faster cash relief.

  • Ensure simple, technology-neutral, and low-bureaucracy environmental requirements for beneficiaries.

The association also stressed that CISAF should be made permanent to provide long-term investment security. According to EID’s analysis, the current limitations mean that even after CISAF deductions, the average electricity price remains around €83.75/MWh, far above the targeted €40–60/MWh range.

EID represents key material sectors such as cement, chemicals, glass, non-ferrous metals, paper, and steel, which form the core of Germany’s industrial base and include thousands of SMEs.

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