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Germany: Gov’t sues European Commission over energy discount case

 |  March 2, 2014

Germany’s Economics Ministry announced Friday that authorities have sued the European Commission at the EU General Court, say reports, over the Commission’s stance against Germany’s energy tax breaks.

According to reports, the Commission has probed Germany’s policy of offering tax breaks to companies burdened with phasing out nuclear energy. Companies that use the most energy, including BASF and ThyssenKrupp, are exempt from paying a surcharge that other energy consumers must pay.

Germany is now suing the Commission over the investigation, denying that those tax breaks constitute illegal state aid.

But according to the Economics Ministry, the law suit is merely part of “constructive dialogue” with EU authorities over the dispute.

According to deputy economics minister Rainer Baake, Germany does not want to go to EU courts with the matter, but as authorities look for an agreement, “it’s important to have filed the suit.”

Reports say Germany is looking to find a resolution to the matter in the next two or three weeks.

Full Content: Wall Street Journal

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