The EU’s competition regulator has approved an electricity supply subsidy scheme aimed at boosting the generation capacity of Germany’s combined heat and power plants but will investigate whether a related cut in prices for big power consumers is anti-competitive.
The European Commission said the German Heat and Power Cogeneration Act 2016 which supports the construction of more energy-efficient district heating and cooling plants complies with the bloc’s state aid rules.
However, the Commission also said it would investigate whether reductions for heavy industrial users in the surcharges levied on consumers’ power bills to pay for that co-generation support gives them an unfair advantage in their own markets.
German Economy Minister Sigmar Gabriel said in a statement that support for co-generation plants, also known as combined heat and power plants, would be paid retroactively from Jan. 1, 2016. The support will increase the cost of electricity for households and small businesses.
“We have long and emphatically lobbied for our law and finally were able to clarify all open questions with the Commission,” he said.
Full Content: Reuters
Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.
Featured News
BHP Unveils £31bn Mining Megamerger Proposal with Anglo American
Apr 25, 2024 by
nhoch@pymnts.com
ByteDance Prefers Shutdown Over Sale of TikTok Amid US Ban Threats
Apr 25, 2024 by
CPI
FCC Votes to Restore Net Neutrality Rules
Apr 25, 2024 by
nhoch@pymnts.com
Apple Rejects Spotify’s Updated App Over In-App Pricing Disclosure
Apr 25, 2024 by
CPI
FCC Set to Reinstate Net Neutrality Rules Today
Apr 25, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – Economics of Criminal Antitrust
Apr 19, 2024 by
CPI
Navigating Economic Expert Work in Criminal Antitrust Litigation
Apr 19, 2024 by
CPI
The Increased Importance of Economics in Cartel Cases
Apr 19, 2024 by
CPI
A Law and Economics Analysis of the Antitrust Treatment of Physician Collective Price Agreements
Apr 19, 2024 by
CPI
Information Exchange In Criminal Antitrust Cases: How Economic Testimony Can Tip The Scales
Apr 19, 2024 by
CPI