Update from Berlin # 6 | Bremen election, Lufthansa Court Ruling, Agenda EU Commission
Update from Berlin number 6 is now online! In this episode Florian von Gierke analyzes briefly the election in Bremen.
Also on this week’s political agenda:
– Lufthansa court ruling
– ECJ ruling on E.ON & RWE
– FCJ / BGH hearing on investor rights / arbitration
– EU Commission on microplastics, customs, and Latin America + Caribbean
– Euro Group + ECOFIN meeting
Hello and welcome to our Update from Berlin for the week of May 15th. Thank you for tuning in! My name is Florian von Gierke – and with that, let’s look at what’s happening in political Germany this week.
Let’s start with a quick glance at yesterday’s event in Bremen. Germany’s smallest federal state held elections and … well the SPD – as is tradition there – won a majority with nearly 30 Percent. Runner up was the CDU with around 25 / 26 Percent. The biggest gain, however, was achieved by a right-wing party called “Bürger in Wut” or “citizens in rage”. They gained just over 7 Percent versus 2019. This was likely the result of the exclusion of the (also right wing) AfD in Bremen. Infightings had resulted in them not having a valid slate of candidates ahead of the election. The Green party lost more than any other party compared to the 2019 results: minus 5,5 Percent. Exactly why is unclear, however, recent missteps by leading Greens at the federal level might have played a role.
Lufthansa court ruling
Another look back to last week, concerns Germany’s rescue of Lufthansa during the pandemic. The EU Commission had permitted the German state to support the airline financially. However, that permission was now nullified by the European General Court. One will have to see whether the EU Commission appeals the decision to the ECJ or what the exact ramifications of the decision will end up being, given that Lufthansa has already paid back all of the state funds earlier than initially expected.
ECJ ruling on E.ON & RWE
We’re expecting other EU legal decisions this week. For one the ECJ is scheduled to rule on the implications of a contract withdrawal by consumers after the agreement was fulfilled by the company. And we’re also expecting a decision on E.ON assets used for power generation by RWE.
BGH hearing on investor rights / arbitration
The German BGH will hear various cases this week. One will concern arbitration clauses when investors believe their rights have been violated by changes in government policy – here specifically in the energy sector.
Agenda EU Commission
Lastly the EU Commission is working this week: there will be sessions on measures to reduce microplastic, reforms to customs rules, and a new agenda with regards to Latin America and the Caribbean. The Euro group as well as the ECOFIN council are also meeting.
You might have noticed the lack of German parliamentary content. Well, Germany’s parliament isn’t in session this week due to the bank holiday this Thursday.
Thank you again for tuning in! As always, should you have any questions, please get in touch.