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Electricity is becoming more expensive: Eon boss announces whopping price increase

2022-04-07T03:10:29.073Z


The Ukraine war is driving up energy costs enormously. Now the boss of the energy giant Eon has also announced a whopping price increase.


The Ukraine war is driving up energy costs enormously.

Now the boss of the energy giant Eon has also announced a whopping price increase.

Essen - Even before the start of the Ukraine war *, the prices for energy such as gas, oil and electricity have risen.

The economic boom and the revitalized industry caused costs to skyrocket.

However, since Russian troops invaded Ukraine, the situation has worsened massively.

A possible energy embargo is causing particular concern for the industry.

War in Ukraine drives up electricity costs

Filip Thon, CEO at Eon-Energie Germany, is already preparing his customers for price increases for electricity and gas*.

Although Eon buys with foresight, it will not be possible to maintain the current price, Thon made clear in an interview with the

editorial network Germany

.

The managing director explains the current situation as follows: “For example, we have largely not adjusted the tariffs for the basic electricity supply in more than two years.

We even lowered some of them.

That won't be possible this year because we're seeing wholesale gas prices 20 times higher and electricity prices eight times higher.

We also have to reflect this unprecedented situation on the market in our pricing, but try to cushion as much as possible.”

Many electricity providers have already adjusted their prices, but what increase can consumers expect?

Thon speaks of premiums of "an average of 35 percent" for the competition.

Should a gas supply stop really come as a result of the war, prices could rise even more.

Energy relief: Eon boss doesn't believe in government electricity price limits

Many customers would also like to see a reduction in electricity prices.

The federal government has already passed an energy relief package, but it does not contain a long-term solution to high electricity prices.

A price ceiling set by the state is therefore being demanded more and more frequently.

But Thon doesn't think much of it.

"Because there is a risk that the market will collapse." Because if suppliers had to buy the energy more expensively than they then sell it, that could become problematic.

If the state then had to support the energy companies, the price limit would again be pointless, since the citizens would have to pay taxes for the damaged companies again.

On the other hand, the Eon boss sees the planned cancellation of the EEG surcharge as of July 1 as a good step.

He's also tossing more tax breaks for consumers to bring prices down.

He also considers it important to optimize energy efficiency in residential buildings and companies.

(ph) *Merkur.de is an offer from IPPEN.MEDIA.

List of rubrics: © Leon Kuegeler/Imago Images

Source: merkur

All news articles on 2022-04-07

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