Not only consumers can get into existential difficulties due to the gas levy, which is due soon - gas is also becoming significantly more expensive for industry. Some companies are already complaining that they have to reduce their operations or have to give up their production.
Due to additional costs in the billions from the new gas levy, business, social organizations and trade unions are calling for more government help. "The economy now needs clarity about the announced relief measures, otherwise there is a risk of a cascade of company closures and production stops," said Peter Adrian, President of the Association of German Chambers of Industry and Commerce (DIHK). Shortly before the levy was announced, 16 percent of industrial companies complained that they had to reduce their business operations or partially give up their production in Germany due to higher energy prices.
Chancellor Olaf Scholz has already promised citizens another relief package in view of the gas levy. "We don't leave anyone alone with the higher costs," said the SPD politician on Twitter. At the same time, Scholz admitted: "It's getting more expensive - there's no getting around it. Energy prices continue to rise."
The Federation of German Industries (BDI) called for the levy to be extended beyond 2024, as the costs would overwhelm many companies. Holger Loesch, deputy general manager of the BDI, said that the reduction of government burdens on energy procurement should also be considered.
The Federal Association of Energy and Water Industries (BDEW) proposes reducing the VAT on gas and electricity prices from 19 to seven percent - from January 1, 2023 for at least two years. The significant increases in energy prices have already led to additional costs of around seven billion euros compared to the previous year, as the Steel Industry Association calculated for its industry. With the gas levy that has now been determined, around 500 million euros would be added annually.
"The gas levy increases the cost pressure on the steel industry, which already exists due to the extreme price increases on the energy markets," criticized Association President Hans Jürgen Kerkhoff. Competitive prices for gas and electricity are a basic requirement for steel production and steel-based value creation in Germany. "The federal government urgently needs to find ways to limit the costs of the gas surcharge," Kerkhoff demanded.
The Association of Industrial Energy and Power Industry (VIK) warns of serious consequences for many companies. "The gas price, which continues to rise as a result of the levy, hits those companies particularly hard who cannot pass on the rising costs, for example because they are bound by fixed supply contracts or have to comply with a given world market price," said Christian Seyfert, CEO of VIK. "Without relief for the particularly affected sectors, these developments will massively endanger the local business and industrial location."
Social organizations warn of gas blockades and a new spiral of poverty and even loss of housing if compensatory measures are not taken immediately. "We take the federal government at its word and expect comprehensive help for everyone who needs it," said the general manager of the joint general association, Ulrich Schneider. "There is no need for a relief package for everyone here, but rather a large package for the poor." Specifically, the association is demanding an increase in the Hartz IV standard rate to 678 euros and an expansion of the housing allowance so that there is compensation for all the increased costs. These measures would have to be taken immediately, not only from January 2023.
The United Services Union is concerned about the consequences of the planned gas surcharge. "The gas surcharge will throw many people, especially those on low and middle incomes, into major, sometimes existential, difficulties," warned union boss Frank Werneke. "That must be prevented." The federal government is called upon to launch another relief package that will protect people from energy poverty. Tweaking the income tax rate is not a solution: What is needed instead is quick and effective relief, especially for people with low and middle incomes.
The Federal Association of Consumers criticized the planned gas levy as a "rush shot". "The federal government must postpone the introduction of the surcharge in order to clarify the open questions and to decide on the urgently needed aid package. The gas surcharge cannot be introduced without a relief package," said Ramona Pop, board member of the "Rheinische Post". Not all consumers could shoulder the considerable additional burden.
