Since reducing gas imports from Russia in 2022, Germany has faced costs exceeding 50 billion euros. This amount has been spent to mitigate the consequences of rising energy prices and to implement support measures to tackle the energy crisis. Currently, this has become a heavy financial burden on the German economy.
Factors Behind Rising Energy Costs
The Süddeutsche Zeitung, citing the German Ministry of Finance, has reported that these costs include measures such as price caps on electricity and gas, one-time payments to retirees, and rescue packages for companies in the gas industry. Before the escalation of the Ukraine crisis, Germany sourced about 55 percent of its gas from Russia. However, after a sharp reduction in imports, energy costs have significantly increased, leading to economic recession and a decrease in the competitive capacity of the country's industries.
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Political and Social Consequences
The Alternative for Germany party, which has repeatedly criticized Berlin's policy to cut energy dependence on Russia, has recently seen a rise in popularity. Alice Weidel, co-leader of the party, stated in June that the loss of cheap Russian energy has negatively impacted German production and affected the country's economy. Studies show that households facing rising energy prices are 7.5 percent more likely to vote for this party.
This trend is particularly evident in eastern Germany, which has experienced the highest increase in energy prices. Recent election results in Saxony-Anhalt show that the Alternative for Germany party won with 43.8 percent of the votes, while the Christian Democratic Union led by Friedrich Merz came in second with 17.2 percent. Additionally, polls indicate that this party is recognized as the most popular party in Germany with about 28 percent support at the national level.
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