Schweitzer sees signal for economic recovery - Schweitzer sees signal for economic recovery
Rhineland-Palatinate has secured expanded EU support to cut industrial electricity costs. The European Commission approved wider state aid for energy-intensive sectors, aiming to boost competitiveness and prevent firms from moving abroad. State Premier Alexander Schweitzer called the decision a 'milestone victory' for local industry.
The EU Commission’s new rules will broaden the electricity price compensation scheme from 2026. More sectors, including organic chemicals, glass manufacturing, and battery cell production, will now qualify for relief. This scheme indirectly offsets costs linked to the EU’s CO₂ emissions trading system.
For industries already receiving support—such as steel and chemicals—the share of eligible electricity costs covered will increase. Instead of 75%, companies will now have 80% of their expenses reimbursed. Premier Schweitzer highlighted the move as crucial for protecting future-proof industrial jobs. He argued that lower electricity prices would help Rhineland-Palatinate’s economy stay competitive on a global scale.
The expanded aid will take effect in 2026, covering additional sectors and raising compensation levels. The changes aim to keep energy-heavy industries in Rhineland-Palatinate while reducing the risk of relocation. Firms in steel, chemicals, and newly included fields will benefit from the increased support.
