[ad_1]
Russia is supplying less and less gas to Germany. Now the Nord Stream 1 gas pipeline is closed for construction, and no one knows if gas will continue to flow to Germany.
In the coming days, many Germans will receive letters with bad news. Due to the dramatic increase in prices, the fixed monthly quota for gas will increase. More than 100% will be this increase for all 31,000 apartments that are heated with gas or oil, according to the Society for the Construction of Apartments in Berlin. But it is not known whether this increase is enough, because the energy prices are reflected to the consumer with a delay, because the prepayments are calculated only at the end of the year with the real cost during the year. GdW, an association that brings together 3,000 landlord businesses in Germany, has calculated that each family should save up to 3,800 euros on energy next year.
Social peace at risk
It is about people with normal incomes, “who cannot compensate for this price increase by giving up a holiday or another”, warns the Saxon Association of the Union of Landlords. “We talk about the existence of families. This policy should finally understand.” Citizens are not only burdened by high prices. Inflation has also increased. The German Chancellor, Olaf Scholz, has announced that no country in the world can compensate for the expected avalanche of prices. “We cannot subsidize every increase in prices downwards. Meanwhile, the German Minister of Economy, Robert Habeck, has been asking Germans to save gas for weeks.
Shower with cold water and dress warmly
Vonovia, the largest real estate concern in Germany, wants to save gas by reducing the temperature to 17 degrees at night in the apartments it offers. This will reduce energy consumption by 8% it is said. During the day, the heating will be as before, up to 20 degrees. Even warm water is not affected by this saving measure. There are no shower or bath restrictions. But one Saxon county, Dipodisvalde, is taking other measures. Recently, a real estate association informed the tenants that in the future there will be hot water only in the early morning, at noon and in the evening. Heating will not open until September, it said in a statement. “As you know we need to save energy.”
After the strong reactions caused by such an announcement, the Minister of Construction, Klara Geywirtz, hastened to call this measure illegal, and the Association of German Tenants stated that the lack of hot water is the reason for the reduction of the monthly rent. But this real estate association will not bow to the pressure. Even the tenants have given a high signal of readiness for cooperation, said a member of the leadership of the real estate association. “Citizens have gone far beyond politics.”
Looking in awe at the Nord Stream 1 pipeline
Really order after political developments? In the Ministry of Economy, the heating conditioners have been stopped since a few weeks ago, it will be less warm in the fall. The Minister of Economy, Habeck recommends this to the ministries of the provinces.
The fact is that dependence on Russian gas has been ignored for a long time by Berlin. Most of the Russian gas came through the Nord Stream 1 pipeline, which brings natural gas directly from the Baltic Sea to Germany. In 2021, the share of Russian supplies was 55%, currently according to the Ministry of Economy this is 35%.
Works only or stop supply?
Robert Habeck
Russia has significantly reduced its gas supply, citing the lack of Siemens Energy’s gas turbine, which is being repaired in Canada. Due to sanctions imposed against Russia, this turbine had to remain in Canada until the Canadian government gave permission for its transport. The German government had offered for Canada to allow the turbine to come to Germany and then ship it to Russia. As of Monday (July 11), the Nord Stream 1 gas pipeline has been shut down to begin work. Whether after 14 days of works, gas will continue to flow towards Germany is not known. “If the turbine comes, this allows an increase in the amount”, says the Kremlin, which officially emphasizes that Russia does not use gas as a tool of political pressure.
Prepare for the worst
But the German government is afraid of this, which has accused Russia of “economic attack” against Germany due to the reduction of gas supply. In Berlin, one hopes for the best, but in the meantime preparations are made for the worst. Laws are rapidly being adopted to mitigate the consequences of gas supply shortages and rising energy prices. In the law on the provision of energy supply, it is stated that coal power plants can be used to obtain electricity in the future, in order for gas to be used for heating. Until now, in order to achieve the objectives of climate protection, we had to use less and less coal energy.
On the other hand, the government will help energy enterprises at risk, such as Uniper, which is dependent on Russian gas supplies and is currently at risk of bankruptcy, because it has to provide gas at much higher prices on world markets. It is about 9 billion euros of aid for Uniper. But the number of energy enterprises in crisis is increasing day by day. How big should the rescue umbrella be for enterprises of great relevance to the country, without overloading the state coffers? This at a time when even many enterprises from the industry barely pay their gas bills.
Friedrich Merz, head of the CDU
“Our country is probably heading towards the biggest economic crisis since the creation of the Federal Republic”, CDU leader Friedrich Merz said in the Bundestag. Germany records the highest inflation figures in 30 years, for the first time in decades the trade balance is negative, which means, Germany imports more than it exports, according to Merz. The Institute of Economics, Prognos, calculated in a study a few days ago, that if gas supplies from Russia are cut off, Germany’s economic decline will be large, about 12.7%./dw
top channel
[ad_2]
Source link
