After Uniper, another German gas importer is applying for state aid. EnBW subsidiary VNG wants to enable the continuation of business activities with stabilization measures.
The gas importer VNG wants to apply to the Ministry of Economic Affairs for stabilization measures because of the exploding energy prices. The subsidiary of the utility EnBW announced that the measures were intended to absorb the significant losses and allow business activities to continue.
"Up until the start of the Russian war of aggression, VNG was a very healthy group of companies," the importer continued. The company supplies gas to municipal utilities, industrial and large customers, among others, and has to fulfill the contracts. However, since Russia has drastically reduced its supplies in the course of the war, the supplier has to procure replacements at significantly higher prices.
Uniper had previously applied for state aid in July and was promised it two weeks later. The Düsseldorf group also has to buy more expensively in order to fulfill contracts. In addition, Uniper has to provide security for a large proportion of the quantities procured on the spot market. Both lead to liquidity problems. The group plays a central role in the German energy supply and supplies more than 100 municipal utilities and industrial companies.