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W. V. Stahl and industry groups urge Germany to preserve revenue from the sale of emissions quotas for decarbonization purposes

W. V. Stahl and industry groups urge Germany to preserve revenue from the sale of emissions quotas for decarbonization purposes

A coalition of 16 German industry associations, business initiatives and environmental organizations, including the German Steel Federation (WV Stahl), has called on the German federal government to abandon plans to redirect 2.7 billion euros of emissions trading revenue from the Climate Change and Transformation Fund (KTF) to the general budget. budget.

The planned change was approved by the German Cabinet in July as part of the draft budget for 2027, which is currently being discussed in the Bundestag,as previously reported by SteelOrbis.According to the coalition, revenues are legally allocated to KTF and must continue to finance the climate-neutral transformation of German industry.

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В. Stahl is one of the 16 organizations that supported инициативу

The initiative was put forward by the scientifically based industrial climate protection organization Bellona Deutschland and Stiftung KlimaWirtschaft. In addition to WV Stahl, the signatories include the German Chemical Industry Association (VCI), the German Foundry Industry Association (BDG), the German Cement Factories Association (VDZ), the Industrial Energy Association (VIK), the Union for the Conservation of Nature and Biodiversity (NABU) and WWF Germany, among others.

The signatories stated that the revenues generated by emissions quotas from industry and the energy sector should be returned to the relevant companies in full and used for climate change-related purposes, in particular for investments in industrial decarbonization and lower energy costs. They also called for maintaining subsidies for electricity transmission through the grid in full.

The coalition warns about the impact on the investment climate. планирование

According to the coalition, reducing the revenue from emissions trading, which is directed back towards decarbonization of industry, will weaken the confidence in planning necessary for long-term investments and negatively affect the international competitiveness of German industry.

Kerstin Maria Rieppel, CEO of WV Stahl, said that the transition to climate-neutral steel production requires reliable political conditions and that the withdrawal of billions of euros from the CTF would send the wrong signal. She added that the current Middle East crisis is putting additional pressure on energy markets and is leading to an increase in already unstable electricity prices. Rippel stressed that revenue from emissions trading should be consistently used to decarbonize and lower energy prices, adding that the German steel industry would not be able to withstand the further burden.

The coalition also argued that Germany needs broader tax reforms to consolidate its budget and create additional investment potential, but said these measures should not be taken at the expense of climate change-related investments or financing industrial modernization.

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