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The influential industry lobby group BDI has criticised Germany鈥檚 government for damaging the economy with unclear and erratic policymaking in areas such as climate, energy and taxation. 鈥淭here has to be a change of course. This government policy is hurting companies,鈥� BDI head Dieter Kempf聽, noting that the EU elections had shown that the government coalition of the conservative CDU/CSU alliance and the Social Democrats (SPD) lost the trust of voters, 鈥渁lso of businesses and young people.鈥� With a view to climate policy and the decisions the country鈥檚 so-called Climate Cabinet is set to take in autumn, Kampf said 鈥渧ague announcements鈥� would not be enough. The BDI said Germany could reduce its emissions by around 80 percent by 2050 compared to 1990 levels and by even more, if the country managed to embed its climate policies in international alliances. 鈥淚nstead of fresh debates about target setting, the people and the industry want clarity,鈥� Kempf said. He added that a price on CO2 could help achieve the climate targets but would not serve as a 鈥減anacea鈥� for climate policy challenges. 鈥淚 urgently warn against symbolic quick shots with consequences that haven鈥檛 been thought through,鈥� Kempf said.聽

In a landmark study, the BDI said last year that protecting the climate can be good for the economy. An increasing number of energy-intensive companies also say they are ready for decarbonisation, but lament a lag in policymaking.