Germany's Energy Intensive Industries (EIP) have called for a long-term, sustainable solution to ensure competitive electricity prices, warning that persistently high electricity costs are undermining competitiveness and investment confidence.
According to the joint industry platform Energy-Intensive Industries in Germany (EID), wholesale electricity prices have risen continuously by around 100 percent since the end of 2021, leading to 20% reduction in output across sectors.
CISAF is a step forward, but far from sufficient
Industries welcomed the Clean Industry State Aid Framework (CISAF) as the first EU-level legal framework to address high electricity prices, but described it as too limited in scope volume
They identified several shortcomings that limit its effectiveness. These include its short duration until 2030 with maximum three-year relief periods, the limited scope of assistance covering only 50 percent of electricity consumption, countermeasures that reduce the effect of assistance by half, narrow coverage limited to only significant sectors at risk of relocation, and the lack of a cumulative effect for companies already benefiting from electricity price offsets.
EIDS argues that these limitations undermine the intended impact of CISAF, leaving industries vulnerable to carbon leakage and production shifts outside Europe.
Proposals for immediate and structural improvements
To strengthen CISAF
