DThe federal government wants to save the ailing gas importer Uniper with a federal stake worth billions and at the same time make it possible for higher purchase prices for gas to be passed on directly to customers. The Ministry of Economic Affairs informed the Bundestag Committee for Climate Protection and Energy about this before a meeting on Wednesday. “To cover the accumulated losses, (a) combination of a capital increase with a target federal participation of 30 percent in Uniper and further hybrid equity is planned.” In addition, it is assumed that the price will be passed on in accordance with the Energy Security Act. Final decisions are therefore still pending. These support measures for Uniper are “under review/negotiation”.
The existing loans from the state-owned KfW bank would also have to be increased from 2 to 8 billion euros, according to the paper available to Reuters and the German Press Agency. This is necessary in order to provide short-term liquidity for replacement gas purchases and to secure so-called margining positions. Margining are reserves that suppliers have to deposit for transactions on the energy exchanges. Uniper announced on Monday that the existing credit line of EUR 2 billion had been completely exhausted and therefore submitted an application for an increase.
The FDP energy politician Michael Kruse told the German Press Agency on Wednesday: “For a possible state entry into gas suppliers, it must be ensured that losses are not solely left to the taxpayer.”
More KfW loans
Germany’s largest gas importer has come under pressure due to the lack of gas deliveries from Russia. The company has to replace the reduced volumes with expensive purchases on the gas market, and is making heavy losses as a result. According to the committee briefing, these “daily accruing losses from replacement purchases” should now be stopped by passing on the price to customers.
According to people familiar with the matter, the rescue package could now include an opportunity for Uniper to pass on some costs. With the Energy Security Act, the Federal Government had created an instrument for controlling the amount of the price passed on with a surcharge.
The package must be put together by July 25, otherwise the Düsseldorf group is threatened with even greater liquidity bottlenecks, said people familiar with the process. Uniper shares increased by almost 13 percent. According to information from the Bloomberg news agency on Tuesday, Germany is considering investing more than five billion euros in Uniper. According to the report, the total commitment should probably be less than ten billion euros. However, the conditions could still change, according to informed circles. The details should therefore be decided in a meeting with Chancellor Olaf Scholz (SPD) on Friday.
How dramatically the situation at Uniper develops also depends on the Nord Stream 1 pipeline. Insiders had said these would allow gas to flow again after their maintenance, albeit at a reduced rate. Russian President Vladimir Putin warned that capacities could be reduced. The maintenance is scheduled to end on Thursday.
Uniper had asked the state for help. State participation and fresh money should prevent Uniper from losing its investment grade rating, insiders said. The Finnish government is also pushing for a speedy agreement. It holds a majority stake in the utility Fortum, which in turn holds a majority stake in Uniper.
Fortum boss Markus Rauramo had proposed that the “system-critical German parts of Uniper” related to the gas business be placed under the control of the German state. In German government circles, however, warnings had been given that the Finns would not cherry-pick. According to the insiders, this scenario is considered too complex and too long.
Meanwhile, the scramble for a turbine for Nord Stream 1 continued. The return of the turbine, which was in Canada for maintenance, has a direct impact on the safe operation of the pipeline, said the Russian gas company Gazprom. However, Siemens has not yet provided any documentation for the reinstallation. According to media reports, the turbine should now have arrived in Germany. So far it is not known whether she is on her way to Russia.