The German Greens were the pioneers, now FPÖ boss Herbert Kickl is also bringing a gas price brake into play. Austrian industry is “in a tough international competition” if it were to become uncompetitive due to high energy costs, “then there is a risk of factory closures, record unemployment, loss of purchasing power and social unrest,” Kickl writes in a broadcast. The federal government in Vienna must therefore create a model based on the German model.
“A half-hearted electricity price brake for households is nowhere near enough,” says Kickl.
Kickl: Otherwise there is a risk that industrial companies will move away
Austria’s gas-intensive industry needs a support package to remain competitive in 2023. Otherwise, there is a risk that industrial companies will migrate – to Germany, among others, if gas is kept cheap there, Kickl warns, adding his call for an end to economic sanctions against Russia.
Germany: The gas price brake will come from 2023
In Germany, a gas price brake for the industry will be introduced next year. This guarantees companies a price per kilowatt hour of seven cents. With this, the government wants to help industry to secure production and employment. Germany has budgeted up to 200 billion euros for this measure.
“The German government clearly knows what is at stake. If German industrial companies have to close because they can no longer operate profitably because of the terrible energy costs, prosperity and social peace in Germany will be a thing of the past,” Kickl explains.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
