Germany: Explosion in energy costs for foundries - costs increase by up to 1500 %

Government supports the population but not the industry

Pressemitteilung | Reading time: min

Foundries in Germany are facing an explosion in energy costs in many cases. When electricity contracts are renewed, costs often increase by a factor of ten to 15, i.e. 1500 percent. This often cannot be passed on and takes on dimensions that threaten the existence of the foundries. This situation of the energy-intensive industries with their approximately one million employees, which also includes the German foundry industry, is known to the traffic light coalition.

Only recently, the traffic light coalition passed the third so-called relief package. Despite its considerable volume, the package does not contain any significant measures to curb the currently existence-threatening development of energy costs for energy-intensive SMEs such as the German foundry industry.

"We are disappointed and alarmed by the package because SMEs are left out in the cold with their exploding energy costs," says Max Schumacher, Chief Executive of the German Foundry Industry Association, "the postponement of the next stage in the CO2 price from 2023 to 2024 is a step in the right direction, but unfortunately only a very small one. The measure does not help the companies at all in the current situation of exploding gas prices. We now need sweeping and swiftly effective solutions that will curb the price of electricity and stop the price of gas from spiraling out of control."


Source: Home of Foundry