(de-news.net) – The Federal Constitutional Court in Karlsruhe has deemed the financing of the electricity price cap lawful. The court in Karlsruhe dismissed the constitutional complaints of 22 renewable energy producers who had challenged the then-valid profit skimming regulations.

The 22 companies had argued in their complaint before the court that the financing of the electricity price cap should be covered by tax revenues. They claimed that the mechanism was a collective societal responsibility.

The aim of the price cap, which has since expired, was to relieve consumers facing high electricity prices during the energy crisis, partly by skimming off excess revenues from electricity producers. Those revenues exceeded the companies’ anticipated profits during the skimming period.