28 Jan '13, 7pm

Is German Renewable Energy Biting the Mittelstand Hand that Feeds GDP?

Is German Renewable Energy Biting the Mittelstand Hand that Feeds GDP?

The levy will cost Worlee 465,000 euros ($620,000) this year, the equivalent of 10 full-time salaries, or one-third of the company’s tax bill. As German labor costs rise at the fastest pace in a decade, the price of weaning the country off nuclear energy by 2022 is crushing the so-called Mittelstand, the three million small and medium-sized businesses like Worlee that account for about half of gross domestic product. “It could be the proverbial straw that breaks the camel’s back,” Chief Executive Officer Reinhold von Eben-Worlee said in an interview. “It comes on top of tax, general production costs, raw-material availability and bureaucracy, which have led to a deterioration of the investment climate in Germany.” The Bundesbank expects the German economy, Europe’s biggest, to expand by as little as 0.4 percent over the course of 2013 as the three-year sovereign debt crisi...

Full article: http://www.renewableenergyworld.com/rea/news/article/2013...

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