Brandenburg's Economic Challenges: Minister Calls for Support Amid Criticism of Energy Transition
In a recent session of the Brandenburg Landtag, the region's Economy Minister emphasized the urgent need for measures to support local businesses currently facing severe challenges due to the ongoing economic crisis. Minister Daniel Keller from the Social Democratic Party (SPD) highlighted the necessity for stability, competitiveness, and openness to global markets, particularly stressing that electricity prices must decrease to ensure affordable energy supply.
Keller pointed out that while recent adjustments to electricity taxes are a step in the right direction, they do not go far enough, especially for small and medium-sized enterprises. Numerous companies across Brandenburg are struggling, with notable examples including the Riva steelworks in Hennigsdorf, which has implemented short-time work, and the Brandenburg glass factory in Tschernitz, which has filed for insolvency.
Amid these challenges, discussions have also focused on the future of the PCK refinery in Schwedt/Oder, a critical facility that supplies fuel and heating oil to much of northeastern Germany and Berlin. Keller noted that efforts to secure jobs at PCK have been somewhat successful, but he called for clarity regarding the refinery's ownership structure to ensure long-term viability. The Task Force dedicated to PCK, led by Minister-President Dietmar Woidke, is set to meet with federal officials next week.
Historically, PCK relied on Russian oil imports, but since the beginning of 2023, Germany has stopped using Russian pipeline oil. The facility is currently exploring alternative supply sources. The German government has taken control of the local subsidiaries of the Russian state oil company Rosneft, which held stakes in PCK. In the context of this transformation, the Alternative for Germany (AfD) party has opposed the transition towards more sustainable energy practices, arguing that such changes are detrimental to businesses.
AfD parliamentary leader Hans-Christoph Berndt criticized the SPD-led government for what he described as harmful policies leading to economic decline. He called for a halt to the current transformation towards climate-friendly energy solutions and suggested a return to nuclear energy. In response, SPD representative Marcel Penquitt challenged the AfD's stance, questioning their plans for the management of nuclear waste.
CDU faction leader Jan Redmann advocated for expedited approvals for new electric vehicle manufacturing, referencing the rapid progress made for companies like Tesla. Meanwhile, BSW member Stefan Roth expressed concerns that sanctions against Russia and the cessation of Russian oil imports are negatively impacting the local economy.