German economy: Fears of a loss of prosperity on an "unimaginable scale"
Berlin - In the Neue Osnabrücker Zeitung the President of the Association of German Chambers of Industry and Commerce (DIHK), Peter Adrian, warned of "loss of prosperity on a hitherto unimaginable scale". He added: "The crisis is here and it is deepening at a tremendous pace." The electricity prices on the futures market would have increased twentyfold.
"That's downright dramatic for many companies," says Adrian. In order to prevent the worst consequences, the economy needs immediate concrete answers and action on the part of politicians, said the DIHK President. "We now need clarity quickly about effective reductions in electricity and gas costs. Many of the current discussions ignore the real problems of most industrial companies, but also of many people affected from trade, tourism, logistics and services." At the same time, Adrian warned against misinterpreting supposed success reports. If gas consumption in industry is currently falling, this is less due to sensible savings measures.
Rather, "very strong" shutdowns and production restrictions are the reason why fewer raw materials are used. "Business closures in trade and services due to unaffordable energy prices are already a bitter reality," said the business president, adding, "Every month that prices stay high, more businesses will close." In addition to concrete relief steps, Adrian urgently suggested streamlining planning and approval procedures.
"What is possible for LNG terminals and wind turbines must also apply to the many other sensible investments made by companies. Anyone who wants to invest now in the crisis cannot wait months or even years for official wait stamp." In order to stick to the goal of climate neutrality, companies would have to be able to invest quickly and legally in Germany. "We now need courageous decisions in business, politics and authorities," said Adrian.
Source: Der Newsticker
Photo: DIHK / Werner Schuering.
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