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Liberalisation plans continue
1 September 1996
Although still convalescing from tropical malaria, federal economy minister Günter Rexrodt is pushing ahead with his planned liberalisation of the German energy sector. The reforms to the energy and competition laws -- which include the abolishment of the system of utilities' monopoly supply areas (demarcation contracts) -- will be dealt with by the Cabinet immediately after the summer break. Rexrodt aims to have his reforms in force at the beginning of 1997 in parallel with the European Union's Electricity Directive. But he faces considerable opposition from the communal utilities, who complain he has gone too far and fear for their DEM 6 billion in concession levies, paid by utilities for use of public rights of way. On the other hand, industrial consumers and generators say Rexrodt's plans are not radical enough and should include a clear Third Party Access clause.
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