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German energy supplier appeals against revenue skimming by government

Published March 13,2023
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Hamburg-based green energy supplier Lichtblick, together with operators of solar, wind and biomass power plants, have filed a complaint with Germany's Federal Constitutional Court challenging the skimming of profits by the government.

"It violates the fundamental rights of the skimmed companies and slows down the [green] energy transition," chief lawyer Markus Adam explained on Sunday.

According to Adam, an excess profits tax, like the one levied on the oil or coal industry, would also be the appropriate and legally secure way for green energy producers.

It makes sense for the federal government to relieve households and companies in view of the high energy costs, Adam explained. It was also right to involve electricity producers in financing the relief. "However, the revenue levy is the wrong instrument."

The electricity price brake is partly financed by a revenue levy. Since December, the revenues of producers of green electricity from wind and sun have been skimmed off according to a complex key.

In the appeal period, the lawyers argue that "for the individual plant operator, depending on wholesale prices, this can lead to skimming amounts that are even above revenues."

The Federal Constitutional Court is a special court that determines whether rulings are in line with the country's basic law.