Retailers are concerned about high energy costs

Retailers are concerned about high energy costs

The vast majority of dealers in Germany feel the effects of the Russian war in Ukraine on their own company. As a current nationwide survey by the German Retail Association (HDE) among more than 900 trading companies shows, the industry is confronted with higher energy and supplier prices as a result of the war. In view of the energy contracts expiring for many traders in the next few months, the HDE warns that their economically tense situation will escalate and calls for the expansion of renewable energies to be accelerated.

“In this time of crisis, high energy prices are an additional burden for many trading companies. They exacerbate the uncertainty in the industry,” says HDE Managing Director Stefan Genth. According to the current HDE survey, 89 percent of the retailers surveyed are feeling the effects of the war in the form of higher energy and supplier prices. “Anyone who has had to sign a new energy contract in the past few weeks has to cope with significant price increases,” Genth continues. According to the survey, around half of those surveyed are still in current energy contracts and have not yet been forced to change tariffs or providers. The price increases associated with a new energy contract are therefore still coming to many traders. “Trading companies are already having trouble with the high energy and supplier prices. They are therefore very concerned about an imminent change of tariff or provider,” emphasizes Genth.

In addition, the search for energy providers and suitable tariffs is already associated with challenges, as the HDE survey shows. According to this, almost every eighth of the retail companies surveyed reported problems with the extension of their energy contract. “Many traders cannot find an energy supplier who can supply them with sufficient energy at economical conditions. This is particularly dramatic with a view to winter,” Genth continues.

According to the survey, retailers see a way out of this situation in investing in photovoltaic systems and energy efficiency measures and in electrifying heating processes. In the best case, the electricity for this would have to come from the company’s own solar system, but the HDE sees an urgent need for action, especially when it comes to expanding photovoltaics.

In the opinion of the association, the incentives for expansion in this area must be set by the legislature in such a way that the largest possible dimensioning of the system is worthwhile. “That’s why politicians are asked to differentiate the feed-in tariff, for example. In addition, the commitment of many trading companies in the area of ​​climate protection and sustainability encounters unnecessary bureaucratic hurdles in practice,” Genth continues. The different connection conditions of the more than 900 distribution network operators alone complicate the roll-out in retail. But the direct marketing and certification obligations also have a negative impact on the expansion of solar systems. “Instead of the complex regulations for planning, commissioning and operation of the solar system, lean, practice-oriented processes must be set up in order to ignite the solar turbo now,” emphasizes Genth.

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