The influential carmaker lobby group VDA also wants the European Union drop a planned tightening of emission limits on cars. Analysts at the Landesbank Baden-Wurttemberg (LBBW) called relief for carmakers “absolutely necessary,” given that they expect 12 to 15 percent fewer cars being sold worldwide this year, while manufacturers may have to pay 15 billion Euros in fines to the EU for failing to comply with CO2 limits.
EEG levy might rise
Declining wholesale power prices, caused by falling electricity demand, could incur major losses for operators of thermal and renewable power plants. For the latter, this could lead to an increase of the renewables surcharge on end-customers’ electricity bill.
The surcharge (EEG Umlage) might have to rise by seven percent in 2021 to make up for expected losses of about 1.7 billion Euros in surcharge earnings for operators this year, according to estimates by Germany's Chamber of Industry and Commerce (DIHK). The levy currently stands at 6.75 cents per kilowatt hour (kWh).
Any rise in the renewables surcharge should, however, not be passed on to consumers who are already struggling to weather the current loss in revenue as several companies reduced working-hours and pay. Hence, DIHK argues that higher power prices could be cushioned by grants from the state budget.