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Electricity industry: Stabilisation of investment

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  • Hans-Dieter Karl

Abstract

According to a study carried out by the Federation of German Electric Power Providers (VDEW) and the Ifo Institute in Spring 2002, the enterprises of the electricity supply industry increased their investments in Germany by ca. 13% in 2001 to €3.9 billion. This increase over the previous year was in all three investment sectors: whereas spending on power stations increased at an above-average pace, investments in the other sectors grew less noticeably. According to plans of the electricity supply enterprises (EVU), investments in 2002 will increase by 17% to €4.55 billion. Since the EVU currently anticipates only small increases in power consumption and adjustments to the new competitive conditions will continue, investments will be reduced in the medium-term. In 2006, at the end of the planning period, investments should stand at approximately €3 billion.

Suggested Citation

  • Hans-Dieter Karl, 2003. "Electricity industry: Stabilisation of investment," ifo Schnelldienst, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 56(01), pages 38-44, January.
    • Handle: RePEc:ces:ifosdt:v:56:y:2003:i:01:p:38-44
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    File URL: https://www.ifo.de/DocDL/ifosd_2003_1_4.pdf
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    Cited by:

    1. Hans-Dieter Karl, 2003. "Investitionen der allgemeinen Elektrizitätswirtschaft weiter rückläufig," ifo Schnelldienst, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 56(23), pages 23-29, December.

    More about this item

    JEL classification:

    • L94 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Electric Utilities

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