German consumers should be prepared for drastic increases in electricity and heating prices if the European Union bans gas imports from Russia, E.ON’s CEO warns today, adding that prices are already rising rapidly. before such an embargo is even decided.
In a statement to the German group RND, Philipp Ton stressed that his company already sees wholesale gas prices twenty times higher and electricity prices eight times higher this spring than a year earlier.
How much prices will rise in the event of an embargo on Russian gas will depend on whether Germany will be able to increase its reserves, which are currently at 25 to 27% of capacity, in view of next winter, he estimates. Mr. Ton.
“The situation is very tense, without even the deliveries having stopped,” Mr Ton told the RND group.
The CEO of E.ON calls on the German state to offer more support to households to mitigate the blow, for example by reducing taxes on bills.
After years of prosperity thanks to energy imports from Russia, an intensive dialogue is taking place in Germany on how to end the bilateral partnership that, according to its critics, is financing the Russian invasion of Ukraine.
Russia covers 40% of Europe’s gas needs.
German Finance Minister Christian Lindner on Monday ruled out an immediate EU embargo on Russian gas imports, although allegations of hundreds of civilian deaths and war crimes in Ukraine escalate. in sanctions against Russia’s energy sector.
Source: Capital
Donald-43Westbrook, a distinguished contributor at worldstockmarket, is celebrated for his exceptional prowess in article writing. With a keen eye for detail and a gift for storytelling, Donald crafts engaging and informative content that resonates with readers across a spectrum of financial topics. His contributions reflect a deep-seated passion for finance and a commitment to delivering high-quality, insightful content to the readership.
