Green energy policy may lead to the collapse of the German Rheinland Group

Due to Germany's green energy policy, the Rhine Group may face bankruptcy.

Germany's green energy policy, Energiwende, has affected the financial position of the largest public utility, TÜV Rheinland, according to a report published in the Frankfurt Stock Exchange.

After the 2011 Fukushima nuclear crisis, the German government to force the closure of nuclear power plants by 2022, which for the Rhine Group of great influence. In addition, the government also forced the use of wind power and solar energy projects to make up for the lack of nuclear power generation.

Since then, TÜV Rheinland has lost 70% of its market capitalization.

In December, TÜV Rheinland decided to reorganize the renewable energy, power and power retail business into a new company called Innogy. The company also decided to sell 10% of the Group's shares at the end of the year, with an estimated € 1.5 billion.

However, Rhein Group chief executive Peter Terium retorted the bankruptcy report, said the group have sufficient funds within 10 years