German Food Industry Demands Lower Energy Prices
The German food industry has called for urgent energy policy reforms and lower prices. Industry associations state that high energy costs are increasingly impacting production and competitiveness.
Berlin – An alliance representing Germany's energy-intensive food industry presented its energy policy demands on January 15, 2025, during the Green Week (Grüne Woche) event in Berlin. The core demand is for a reduction in energy prices, which have become a critical factor for the life and animal feed processing industry.
"As producers of food and feed, we are part of critical infrastructure and ensure supply security," stated Jaana Kleinschmit von Lengefeld, president of the OVID association. She emphasized the need for an energy policy approach that addresses the specific challenges faced by these sectors.
Bastian Fassin, chairman of the German Confectionery Industry Association (BDSI), highlighted the competitive disadvantages faced by the predominantly medium-sized confectionery sector. "Policymakers must recognize that we are as energy-intensive as the steel, chemical, or glass industries," Fassin said. He also stressed the necessity of effective carbon leakage protection to prevent production shifts abroad.
Dr. Tobias Fleiter from the Fraunhofer Institute for Systems and Innovation Research (ISI) presented findings from a recent study indicating that high grid fees and regulatory hurdles impede investments in climate-friendly industrial production. According to the study, a reform of grid fees is essential for successful partial electrification.
The industry alliance reiterated its key demands in a joint position paper: competitive electricity and gas prices, a practical reform of grid fees, and binding carbon leakage protection beyond 2027.