Electricity Package: Is the relief for families and companies?

Electricity Package: Is the relief for families and companies?

Deutschland - The federal government plans a comprehensive electricity package that is supposed to relieve both consumers and companies. The aim is to reduce the financial burdens of energy costs before the Bundestag goes into the summer break. According to fr.de 0.1 cents per kWh and the abolition of various levies that are currently being placed on electricity prices.

A study by the Institute of German Economy (IW) predicts that a family of four could save around 5.5 cents per kWh through the complete implementation of this package. This would correspond to an annual saving of around 220 euros. The estimated costs for the implementation of the package amount to around 21 billion euros that have to be financed through the federal budget.

challenges in the energy transition

dr. However, Thilo Schaefer, an expert in energy and climate policy, warns of the challenges associated with the network expansion and the construction of new gas power plants. The network expansion could take several years, while the creation of 40 new gas power plants will be rated as positive by 2030, since this has a lower CO₂ intensity than coal-fired power plants. Schaefer emphasizes the need for a comprehensive expansion of the network infrastructure, digital control options and flexible consumers as well as storage options to successfully design the energy transition. The rising costs that could ultimately be passed on to consumers is pointed out, especially if the electricity consumption does not grow to the same extent.

In addition, the regulatory framework in the electricity generation sector turns out to be decisive. According to the Bdew , the legal framework has now improved. The interpretation for wind turbines as well as the number of tenders and surcharges for renewable energies have increased, which indicates an upcoming acceleration of the expansion of renewables.

Pozitative views and necessary measures

The results indicate that the energy transition is recognized as an economic growth driver. Investments in this area can not only promote growth, but also produce new business models. However, it is important to guide private investments through attractive regulatory framework. In the past, regulatory uncertainty was identified as an obstacle, which is why a new market design is required, the supply and demand are taken into account.

Overall, the way to the energy transition is peppered with challenges, but the latest developments also offer hope for an ecological and economic turn that benefits not only to the climate but also the economy.