Sigmaringen's municipal utility company in crisis chaos: This is how a million-off deficit was caused!

Sigmaringen's municipal utility company in crisis chaos: This is how a million-off deficit was caused!

The Stadtwerke Sigmaringen faces a financial disaster: a minus of around ten million euros last year forces the city to pump 11.5 million euros into society in order to avert bankruptcy. The interim manager Falk-Wilhelm Schulz blames the wrong shopping policy. Too high prices and an excessive amount of energy were procured in a time when prices exploded as a result of the Russian delivery freezer. In addition, the high purchasing costs did not remain passed on to customers, which further tightened the financial problems.

The municipal utilities already lost ten percent of their electricity and six percent of their gas customers in the first six months, which raises the need for a price reduction on January 1, 2025 to keep customers. An early warning system is now to be set up in order to be able to react to such crisis situations at an early stage. At the moment, the equity ratio has risen to 40 percent due to the support of the city, but the debt towards banks remains high at 25 million euros. Further details and the new price structures will be published in mid -November. More information is here find.