Germany’s new government faces an early test of its sway in Brussels as it defies pressure from neighbouring countries to break up the German electricity market.
Sweden, Belgium and the Czech Republic are among countries to have argued that splitting the large German market into several zones could lower prices for their consumers, as electricity flows to the region of highest priced demand.
Europe’s grid operators on Monday are set to publish a report that could recommend the split — a measure that was successfully implemented in Sweden. Stockholm has said that it was only prepared to approve a power cable connecting Germany to southern Sweden if Berlin also reorganises its electricity market.
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