Wirtschafts Woche reports that German energy company Neckermann Strom AG has filed for bankruptcy due to rising gas prices.
Energy company Neckermann Strom AG, founded in 2013, has filed for bankruptcy to begin due to rising energy prices, especially natural gas.
Neckermann Strom AG is a clean energy and gas company. In total, its services are used by more than 13 thousand families throughout Germany.
Several other energy companies have also filed for bankruptcy in the country in recent weeks. Small suppliers who have to buy electricity and gas from exchanges in a short time frame suffer the most from this situation. Firms are unable to transfer significantly increased costs, since long-term contracts are concluded mainly with consumers.
In early November, three other utilities in Britain (Omni Energy, Ampoweruk and Zebra Power), which serve tens of thousands of consumers, announced their closures. Another company, MA Energy, which was engaged in the provision of services, also announced the termination of its activities.
Besides the aforementioned closed energy suppliers, 17 companies have already suspended their activities in Britain since the beginning of September due to higher energy prices.