Schweitzer sees signal for economic recovery - Schweitzer sees signal for economic recovery
The European Commission has approved expanded state aid for energy-intensive industries, offering greater financial relief to key sectors. The move aims to strengthen industrial competitiveness and prevent companies from moving operations abroad. Rhineland-Palatinate is among the regions set to benefit from the changes.
State Premier Alexander Schweitzer has called the decision a 'milestone victory' in securing future-proof industrial jobs. He highlighted the breakthrough in the push for lower electricity prices, which will help keep the region’s economy competitive globally.
Under the new rules, the share of electricity costs covered for industries already receiving support—such as steel and chemicals—will increase from 75% to 80%. The scheme indirectly offsets costs linked to the EU’s CO₂ emissions trading system. From 2026, more sectors will qualify for electricity price compensation. These include organic chemicals, glass manufacturing, and battery cell production. The expansion aims to ease financial pressure on industries facing high energy expenses.
The changes will take effect in 2026, broadening support for struggling sectors. Companies in Rhineland-Palatinate and beyond will receive higher subsidies to offset rising electricity costs. The decision follows efforts to retain industrial jobs and prevent business relocations outside the EU.
