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The Energy Transition has Negative Effects on One Third of Businesses

Businesses in Germany can only achieve transformation as long as it does not compromise their competitiveness. This is a central finding of the Energy Transition Barometer 2025 by the German Chamber of Commerce and Industry (DIHK).

The survey, with participation from approximately 3,600 businesses across industries and regions, reflects the current sentiment of companies regarding the energy transition: In many businesses, skepticism and uncertainty currently dominate discussions surrounding the energy transition.

High costs, bureaucracy and the overall challenging economic situation are leading to fewer resources and finances available for climate protection. Moreover, many industrial businesses are gradually leaving domestic locations amidst significant uncertainty. The energy transition is on standby in many places.

Businesses Remain Skeptical

On a scale from -100 (very negative) to +100 (very positive), businesses rate the 2025 energy transition at an average of -8.3. While this view has slightly improved compared to the previous year (-20), it remains in the negative range.

The concern over competitiveness drives many businesses. Over one third of survey respondents (36%) view the impact of the energy transition on their competitiveness negatively, while only one quarter see it positively.

The DIHK Energy Transition Barometer also indicates that the majority of businesses fundamentally support the goal of achieving climate neutrality. 89% of businesses have adopted their own climate-neutrality target by 2045. Among these, 43% plan to reach climate neutrality by 2040, 26% by 2030, and 6% have already achieved it.

As the greatest obstacle towards climate neutrality, most businesses cite excessive bureaucracy, followed by insufficient information and lack of planning security. Other hurdles include lengthy approval procedures and inadequate infrastructure.

High Energy Prices Burden Businesses

High energy prices remain a significant burden on businesses. About half report increased costs for electricity and heating over the past twelve months. Businesses in Germany pay considerably more for energy compared to competitors in other countries – funds that could otherwise be used for investments in industrial transformation.

Indeed, businesses are reducing investment in climate protection measures compared to the previous year. 41% of all companies, and 63% of industrial businesses, are particularly disadvantaged by high energy costs compared to their international competitors. More than half of large industrial businesses with over 500 employees (59%) have reduced in-country production or are planning to do so due to high energy costs. This marks an increase from prior years.

Less Bureaucracy, More Reliable Infrastructure

Businesses have clear expectations on what is needed to advance the energy transition: 82% demand reduced taxes and levies on electricity prices. Additionally, better framework conditions for self-supply and direct delivery contracts (PPAs) are essential for 81%. Nearly three quarters of businesses (72%) stress the need for reliable infrastructure. Broad access to CO2 capture and storage regulation as well as hydrogen accessibility is supported by roughly half.

The complete survey results can be downloaded:
Energy Transition Barometer 2025 (PDF, 786 KB) (only available in German).

Relevant in topic:
Key areas:
  • Klima

Contact

Beland_test

Dr. Ulrike Beland

Director Economic Aspects of Climate and Energy policy

Löffelholz, Julia_test

Julia Löffelholz

Spokesperson