A GKV survey reveals rises of over 25% in a two-year period

German plastic processors trade association GKV has expressed concern about the large increases in electricity charges faced by its members. GKV said a survey among plastics processors had shown the average price for electricity had risen by 25.4% between 2001 and 2003 and has now reached Euro cents 6.4/kWh. Processors that use large amounts, such as those in the consumption group 2 million to 5 million kWh/year, have faced increases above 30%.

The effect of the increases has been to wipe out all the reductions that occurred earlier when the German energy markets were liberalised, GKV said. Factors contributing to the increases included the EEG (Erneubare Energie Gesetz) and KWK (Kraft-Wдrme-Kopplung Gesetz) surcharges on electricity bills to provide funds for developing renewable energy projects, and to support the co-generation of heat in power stations.

Some plastics processors have managed to keep their energy costs stable in 2004, GKV said, but many were affected by 10% to 20% increases. Further rises have been announced for 2005, with 20% to 35% increases being cited by some plastics processors. Recent reports in the German media have stated that Germany already has the highest electricity costs in the EU.