No social justice without fair energy policy

No social justice without a fair energy policy

Guest article by Dr. Hubertus Porschen, Federal Chairman of the Young Entrepreneurs Business Association

According to all that is known so far, the SPD with its candidate for chancellor, Martin Schulz, has the topic "social justice" discovered as a supposed winning ie. Apart from the fact that one could philosophize for hours about what the "West" is "social justice" and how to implement them, there is already a huge gap in the political line.

The topic of energy policy has so far been completely left out of both the 10-point plan of Federal Economics Minister Brigitte Zypries and the speeches of Martin Schulz. But this is a redistribution program that redistributes more than 10 billion euros a year from the low-income strata of the population to the upper strata. If you look at the winners and losers of the energy transition, you will look in vain for social justice. Those who are heavily burdened by the energy transition are mainly tenants, industrial family businesses and thus their employees.

Who is on the winning side? It is homeowners who can afford to put a photovoltaic system on their roofs. In addition, the many farmers who hardly practice agriculture, but use their stables as a substructure for solar plants or earn hundreds of thousands of euros for the lease. Private and public investors who put their money into renewables can make massive profits. A few years ago, returns on equity of 25 percent were demonized in the business world as absolutely immoral. In the field of renewables, there are 100 percent returns with sophisticated models, which are achieved through government subsidies.

Of course, we must protect the climate. It is also self-evident that there must be a radical change in the energy sector, that we need renewables, and that this also entails costs.

What is not self-evident, however, is to pursue a planned economy. This is how redistribution works in favor of the wealthy. The better model is competition and a social market economy that takes the whole economy into account, including the socially weaker ones.

The SPD, which was instrumental in setting this energy turnaround in motion and has always played a leading role in it, would be well advised to take on this task. And Martin Schulz, who has been one of the leading figures in the SPD for years, should also take this opportunity to acknowledge his failure to act in the interests of the climate "social justice" and set the course in the right direction.

To sum up, the Renewable Energy Sources Act (EEG) in particular was one of the biggest mistakes in domestic energy policy. Since 2000, the EEG levy has increased 32-fold. In the meantime, it amounts to 23 billion euros per year. Taxes and levies on consumers amount to 34 billion euros. The positive effect in climate policy, on the other hand, has not materialized. Germany will not reach its targets this year either – despite redistribution madness. Politicians must admit to mistakes in energy policy and rethink the energy turnaround!

If you want social justice, you must finally get a grip on the cost driver energy instead of pampering a certain clientele and distributing the costs as appropriately as possible politically.

A socially just reward of ecology and economy is possible. The right instruments, such as emissions trading, are in place. If you are serious about social justice in the sense of a social market economy, you cannot avoid energy policy. The SPD must deliver here. The Lucke in the election program to the energy policy is so far a social-political revelation oath.

Dr. Hubertus Porschen is honorary Federal Chairman of the business association DIE JUNG UNTERNEHMER, founder and managing director of App-Arena GmbH in Koln, and holds a doctorate in economics. Hubertus Porschen studied business administration in Marburg and also earned a doctorate in economics on the topic of "The academic entrepreneur". During his studies he already worked in several start-ups, which he partly co-founded.

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