E.ON accepts the will of the political majority concerning the future of nuclear power and expects to receive appropriate compensation for the financial damage
- Legal action against nuclear fuel tax announced
Decisions concerning the country’s energy policy framework are always taken by parliament and the government. Despite the high safety standards at the nuclear power stations across Germany, confirmed recently by the reactor safety commission, E.ON accepts the will of the political majority to secure an early phase-out of nuclear energy.
At the same time the company expects to receive due compensation for the financial damages associated with these decisions, which is expected to amount to billions of Euros. E.ON has already made substantial investment decisions trusting in the earlier announcement of the government to extend the operating lives of nuclear power stations. For reasons pertaining to stock corporation law alone - and to safeguard the interests of its more than 500,000 small shareholders - E.ON is not permitted to accept this kind of financial damage. The company will now work out the precise financial burden and submit it to the government. By entering into talks with the government the company hopes to avoid a legal dispute.
E.ON already considered the nuclear fuel tax to be unlawful when it was introduced in combination with the life extension for nuclear power stations. E.ON believes that it is not in line with constitutional and European law. Adhering to the tax while at the same time significantly shortening the operating lives of the nuclear power stations raises additional legal issues.
The tax is also counterproductive for the required changes in the energy system. The tax withholds billions of Euros that are needed for investments to transform the energy framework. This double burden also places E.ON at an unreasonable disadvantage in the European competitive market. Against this background, E.ON has announced that it will take legal action against the nuclear fuel tax.
This press release may contain certain forward-looking statements based on the management of the E.ON Group’s current assumptions and forecasts as well as other information available at present. Various known and unknown risks, uncertainties and other factors may result in the Company’s actual results, financial situation, development or performance differing substantially from the estimates indicated here. E.ON AG does not intend to update, and accepts no responsibility for updating, such forward-looking statements and adjusting them to future events or developments.