Belgium's industries have again denounced the country's high energy prices which, the Federation of Belgian Industrial Energy Consumers said on Tuesday, are harming their ability to compete with neighbouring countries.
“Our companies are increasingly feeling the consequences of the energy price crisis, which is generating significantly higher costs than in our neighbours (and a fortiori the rest of the world), where the authorities intervene more in energy costs,” FEBELIEC said.
It called on the federal and regional governments “to take urgent measures with a view to rapidly restoring the competitiveness of our industry.”
Industries call for reduced energy tariffs
FEBELIEC also criticised the energy regulator for ignoring “the alarming signals from the industry.”
“In its annual opinion on the energy standard addressed to the federal government, CREG, the energy regulator, proposes that no new measures be taken at this stage to improve the competitiveness of Belgian industry," it said in a press release. "However, the recent price comparison by PwC, like that by Deloitte on behalf of FEBELIEC, has shown that the competitive position of our industry compared with neighbouring countries has deteriorated over the past year.”
The industries are therefore calling for the immediate introduction of a reduction in transmission tariffs for the electricity users concerned, as has been applied for more than 10 years in neighbouring countries with the approval of the European competition authorities.
However, the Federal Commission for Electricity and Gas Regulation (CREG) said in a reaction that it first wanted to know the scale of the increases and their impact on business competitiveness before proposing appropriate measures.
Belgium's industries are still competitive, energy regulator counters
It pointed out that a joint study with regional regulators showed that the competitiveness of Belgian companies has deteriorated but remains good overall.
“Industrial companies in Flanders still have a competitive energy bill compared with neighbouring countries,” the regulator noted. "A competitive disadvantage has been observed in Wallonia, on the other hand, and only for electro-intensive industries."
Tariff increases are expected in 2024 in Belgium, Germany and the Netherlands. CREG said it first wanted to know their scale and impact on the competitiveness of companies. It will then propose appropriate measures “if this competitiveness is harmed.”
