Federal Government recovers 450 million euros from gas firm Sefe in loan repayment
The curl-up of Sefe, Germany's largest gas importer, ain't over yet. After a tumultuous energy crisis in 2022, this once-Russian subsidiary gas giant has shelled out another €450 million in repaid subsidies to the federal republic, bringing their total payback to around €725 million.
Sefe, standing for "Securing Energy for Europe," was previously known as Gazprom Germania. It was nationalized during the crisis due to the halt of Russian pipeline gas deliveries and the chaos that ensued. The federal government stepped in to the tune of €6.3 billion to keep the company afloat.
To buy replacement supplies and keep the gas flowing to industrial customers and municipal utilities, the EU Commission gave the nod for an additional €6.3 billion injection in equity last December. But the repayment clock is still ticking, and a further payout is on the cards for 2026, with the exact amount dependent on Sefe's business performance.
The forced divorce between Sefe and the government isn't happening anytime soon, though. The government is obligated to pare down its stake to 25% plus one share by the end of 2028. Sefe serves more than 50,000 customers, from small businesses to municipal utilities and multinational corporations, and employs around 2,000 folks worldwide.
This whole brouhaha isn't unique to Sefe, as Germany's largest gas trader Uniper has also danced the same dance during the crisis, digging deep to repay large sums to the state. So, hang tight, folks—the saga of Sefe and the German energy market continues unfolding.
- Despite the repayment of over €725 million, Sefe, once known as Gazprom Germania, is still being financially supported by the German government.
- The energy industry in Germany, represented by companies like Sefe, has required billions in equity injections to maintain operations during the energy crisis.
- The government plans to privatize Sefe by the end of 2028, reducing its stake to 25% plus one share, but until then, it remains a crucial player in Germany's energy market.
- The energy crisis in 2022 has led to significant financial obligations for companies like Sefe, with further repayments to the government expected in the future.
