Prime Minister Schulze visits
KSM Castings in Wernigerode – Industry calls for reliable
regulatory framework for the transformation

The KSM Castings Group hosted today’s meeting in Wernigerode with representatives of energy-intensive industrial companies, Prime Minister Sven Schulze, Minister Prof. Dr Armin Willingmann and State Secretary Stefanie Pötzsch. The focus was on discussions between companies from Saxony-Anhalt and the state government regarding high energy prices, international competitiveness and the path towards climate-neutral production. The meeting took place as part of the SETUp cooperation network.

SETUp supports energy-intensive companies in developing sustainable energy and transformation strategies. It was launched by Fraunhofer IFF and the Saxony-Anhalt State Energy Agency: It was launched by Fraunhofer IFF works with companies to develop specific, company-tailored transformation pathways and technical solutions, whilst the Saxony-Anhalt State Energy Agency acts as the strategic coordinator and facilitator within the consortium. The seven companies involved together provide around 2,700 direct jobs in Saxony-Anhalt.

KSM, as one such company, has implemented numerous measures in recent years to improve energy efficiency and reduce CO₂ emissions. These include, among other things, process optimisation, waste heat recovery and the use of modern energy data management systems. During a guided tour of the KSM plant in Wernigerode, participants were given a first-hand insight into the production processes, and the specific transformation requirements for the future were illustrated in a practical manner. Looking ahead, the company is exploring options such as feeding waste heat into municipal district heating networks, the use of electricity storage systems, and the use of locally generated renewable electricity.

„The supply industry is under significant cost pressure. Internationally competitive energy prices are therefore of great importance. At the same time, our customers expect a significant reduction in the carbon footprint of our products in the future. To further reduce energy consumption and CO₂ emissions in the future, we need a reliable energy policy framework to successfully navigate this transformation,” said Marc Menge, plant manager at the KSM Castings Group’s Wernigerode site.

Policy requirements
The companies in the SETUp cooperation network see great potential for Saxony-Anhalt to position itself as a modern and climate-friendly industrial location. The focus is on three key demands:
1. Competitive energy prices – Access to competitive electricity prices should be based less on formal sector classifications and more on actual energy intensity, the relevance to the energy transformation, and international competitive pressure.
2. Investment certainty – The economy needs a reliable regulatory framework as a prerequisite for long-term investment in transformation.
3. Fast-track procedures – Faster infrastructure and approval processes must be established to implement climate-neutral production solutions.
A sign of cooperation
With today’s meeting, the SETUp consortium is sending a clear sign in favour of close cooperation between industry, academia and politics to ensure that Saxony-Anhalt’s industrial transformation remains competitive. KSM Castings is thereby underlining its role as an active player in the industrial transformation of Saxony-Anhalt.

Download press release