Let's say goodbye to administrative fetishism

Quite a lot of what is sold as transformation in the political arena turns out to be a paralyzing mixture of small-scale regulatory frenzy, ideological fixation and the unbridled freedom of the authorities to overwhelm companies with administrative requirements.

to overwhelm companies with administrative requirements. Obviously, there is no obligation for our authorities to objectively justify the benefits of their measures. At the latest when reporting obligations become the main occupation of managing directors in SMEs and the number of employees in administration increases faster than in production, even successful companies will start to feel the pinch.

Lars Baumgürtel, Managing Partner of the ZINQ Group, puts it in a nutshell in an interview (from page 10 of the April issue): “Bureaucracy, uncertainty and planned economy-like subsidy policies are jeopardizing the competitiveness of medium-sized industry in Germany - and with it the economic backbone of our country.

Companies are willing act

Just three billion euros are available for the entire energy transformation of the industrial SME sector by 2030. On the other hand, more than 20 billion euros will flow into the promotion of renewable energies every year. However, large quantities of the electricity subsidized in this way are literally dumped due to a lack of grid infrastructure.

This grotesquerie reveals a lack of reality and priorities that an economy that wants to survive in international competition cannot afford. There is a lack of an industrial policy compass that is not based on models and moralism, but on impact and competitiveness. After all, companies have been acting for a long time - often faster than politicians. What they lack is an environment that does not slow them down, but supports them. Baumgürtel is therefore right to call for a rethink of the system - not just in terms of electricity, but also in terms of energy sources. What is missing above all is a realistic roadmap that is open to all technologies.

We therefore need a turnaround in economic policy: Away from administrative fetishes and towards a functional state. Away from small-scale subsidies and towards structural improvements. Time is pressing. Companies are ready. Politicians should finally be too.

CB