Market Germany

Considering the financial crisis, 2009 was a successful year. Market Germany achieved its defined targets, benefiting in particular from prices and volumes that had been contractually fixed well in advance. The small customer segment, served throughout Germany by sales partner EGT, was more directly affected by the financial crisis. In this context, a credit risk insurance policy, taken out as protection against payment default, paid off.

Massive drop in prices

The economic crisis took its toll on energy prices last year. Prices fell sharply at the beginning of the year, only to fall even further in the latter six months. The average price level is now lower than a year earlier, compounded by great uncertainty among customers regarding their future requirements. Compared to the previous year, much lower volumes have been reserved since customers, mindful of the weak economic conditions, are unsure how much energy they will need in 2010.

In addition to the fall-out from the economic crisis, the German energy market was characterised last year by a trend towards concentration and remunicipalisation. For example, RWE took over the Dutch company Essent, and E.ON sold Thüga to a municipal buyer consortium.