Electricity and gas: DIHK: More and more companies no longer get a supply contract

Federal Minister of Economics Robert Habeck has promised companies more support in view of the energy crisis.

“There is a threat of operational closures and we must address it.

That is why we will expand the aid programs, ”said the Vice Chancellor to the editorial network Germany.

There is a protective shield under which small and medium-sized companies can slip, said the Green politician.

"But one thing is clear: for autumn and winter we have to open up the protective shield more."

We are working at full speed so that companies can be supported in a targeted and effective manner.

A spokeswoman for Habeck had already said on Wednesday that impending operational closures due to energy costs were a serious problem, especially for small and medium-sized companies.

Meanwhile, the Association of German Chambers of Commerce and Industry complained that prices had reached a level that threatened the existence of many companies.

"More and more companies are reporting to us that they no longer have a supply contract for electricity or gas at all.

The tap is turned off in the truest sense of the word," DIHK President Peter Adrian told RND.

"But without energy, no economy can run."

Worse than during Corona

In addition, warnings of a wave of bankruptcies are increasing given the sharp rise in energy costs.

In a new analysis by the industry association BDI, it was said that this was a major challenge for 58 percent of the companies, and for 34 percent it was a matter of existence.

Only 23 percent had said the latter in February.

Almost every tenth company has already reduced or even interrupted production.

Almost every fourth company is thinking about or is already in the process of relocating company shares or parts of production and jobs abroad.

"The federal government must implement a relief program for the economy as soon as possible," demanded BDI President Siegfried Russwurm.

According to the ZDH industry association, the economic situation is also coming to a head in the skilled trades.

"In the trades, a wave of insolvencies is rolling towards us because of the energy crisis," said ZDH President Hans Peter Wollseifer of the "Rheinische Post".

"Every day we receive emergency calls from companies that are about to stop production because they can no longer pay the enormously increased energy bills." The dynamics of bankruptcies are much worse than in the peak phases of the corona pandemic.

The state would now have to support particularly affected, energy-intensive companies directly with hardship aid.

The FDP-led Federal Ministry of Justice is planning short-term changes in insolvency law.

"Companies that are fundamentally healthy and able to survive in the long term under the changed framework conditions will benefit from the change," said a spokesman.

"They should gain time to be able to adapt their business models." The leaders of the traffic light coalition of SPD, Greens and FDP had agreed on Sunday to ease the obligation to file for insolvency.

This will now be implemented quickly, said the spokesman for the responsible Ministry of Justice.

A temporary relaxation of the obligation to file for insolvency due to over-indebtedness is planned.

In contrast, the obligation to apply for insolvency remains unaffected.

According to current law, over-indebtedness is considered when the continued existence of a company for a period of one year is no longer predominantly likely, ”said the spokesman for the Ministry of Justice.

Given the current market conditions and uncertain developments, however, such a forecast is associated with difficulties even for healthy companies.

"This period should therefore be reduced to four months."

The Ministry of Economic Affairs warned of the danger of "silent operational tasks".

Insolvencies are not the sole measure - these procedures served the purpose of maintaining businesses.

However, businesses could also simply be closed without filing for bankruptcy because they were no longer worthwhile due to the high costs.

This is a serious problem, especially for small and medium-sized companies.

According to the Halle Institute for Economic Research (IWH), the number of company bankruptcies is currently still stable.

"Despite the energy crisis, supply chain problems and the gradual phasing out of Corona aid, the insolvency situation is still pleasingly robust," said IWH specialist Steffen Müller.

The number of insolvencies of partnerships and corporations was 709 in June and thus slightly below the previous months and almost exactly at the level of the previous year.

No major changes are to be expected for July and August either.

But the burdens on the companies would increase again significantly.

These included the increase in the minimum wage to twelve euros in October, the turnaround in interest rates initiated by the European Central Bank and further expected increases in energy prices.