German Chamber of Commerce Chief Calls for Climate Policy Overhaul

The president of the German Chamber of Industry and Commerce (DIHK), Peter Adrian, has urged a significant reevaluation of Germany’s climate and energy policies. Speaking to the German news agency dpa, Adrian warned that the current trajectory could severely impact large sectors of the industry, leading to potential deindustrialization.

Adrian emphasized the need for a more pragmatic approach, stating, “I believe we have now recognized how the path we are on, without correction, is ruining important parts of industry.” He described the situation as “absurd,” highlighting that Germany might end up importing products it can efficiently and sustainably produce domestically. This scenario could lead to increased reliance on imports from countries with less efficient production methods and higher carbon emissions.

Rethinking Germany’s Climate Strategy

Adrian asserted that Germany must abandon its stance of “playing the know-it-all for the rest of the world” and instead focus on collaborating with other nations to address climate challenges. He clarified that the DIHK does not oppose the ultimate goal of achieving climate neutrality, but it raises concerns about the current approach and the substantial costs associated with the transition, particularly within the energy sector.

A recent study commissioned by the DIHK revealed that the energy transition under the existing strategy is excessively costly and unaffordable for many companies. Key cost drivers include investments in power grids, the transformation of industrial processes, and the construction of new power plants, all exacerbated by high energy prices compared to international standards.

Adrian pointed out that Germany contributes approximately 1.5% of global CO2 emissions. Although the country has successfully reduced its emissions by 48% compared to 1990 levels, he noted that many other industrialized nations have seen their emissions increase. This discrepancy underscores the necessity for a coordinated international climate policy to ensure that efforts are not undermined by less effective practices elsewhere.

In summary, Adrian’s remarks reflect a growing sentiment within Germany’s industrial sector that a reassessment of climate and energy policies is crucial for sustaining competitiveness while still aiming for environmental sustainability.