EC probes German subsidies for metal producers

The European Commission has launched an investigation into a German scheme intended to compensate producers of non-ferrous metals such as copper for the CO2 costs included in their electricity prices in the second half of 2009.

These costs are passed on to the producers by electricity generators. This may force some to end their activities in Germany and relocate outside of the EU's emissions trading scheme, leading to an increase in global emissions, says the government.

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