The issue of rising energy prices is leading to a “padlock” of traditional businesses. The Italian government is planning measures to alleviate the citizens.
Italy is struggling to cope with the huge rise in the price of gas and electricity, which is seriously jeopardizing the country’s economic recovery. The chambers of commerce of Italian cities estimated that compared to last February, gas increased by 105% and electricity by 70%.
Households, but also businesses, are in a very difficult position. The craftsmen, for example, who make the internationally renowned Murano glass – next to Venice – are forced to stop production, after centuries of unbeatable tradition.
Whoever decides to try to endure and keep his ovens open, instead of 40,000 euros every two months, pays even 160,000 euros, for the electricity bill. The Italian Minister of Ecological Transition, Roberto Tsingolani, stated that this year, the total cost of these revaluations may exceed the funds of the National Plan for Recovery and Sustainability.
Suffocation in tourism as well
The government of Mario Draghi is preparing to support citizens and businessmen again, allocating up to 7 billion euros. The commentators, however, emphasize that – despite the substantial effort – the whole problem will not be solved. The Italian technocratic prime minister, meanwhile, has called on energy companies to share their huge profits with small and large businesses that are in danger of closing. For now, however, his appeal has not been heard.
This new crisis is also creating economic suffocation in the tourism sector. Two luxury hotels closed within a month on Rome’s famous Via Veneto, much loved by Federico Fellini. Due to the huge reduction of customers from the coronavirus epidemic, but also the inability to pay the very expensive bills.
The mayors of the Italian cities were clear: “If we are not given new money by the central government we will be forced to reduce aid to the elderly, the low-income and all the most vulnerable,” they said through their spokesman and the mayor of Bari. Antonio Decaro. It is clear that a new, global effort is needed. To achieve a lasting, tangible result, former Italian Prime Minister and former Commission President Romano Prodi is urging Draghi to move immediately and realistically: to go to Moscow and conclude a new, more lucrative “energy deal package”. “, with Vladimir Putin’s Russia.
Theodoros Andreadis Siggelakis, Rome
Source: Deutsche Welle
Source: Capital
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