Uniper, Germany’s largest natural gas importer, announced on Wednesday that the Berlin government will acquire a 99% stake in the company following an $8 billion capital increase that will be financed with state funds, Reuters reported.

pipelinePhoto: dpa picture alliance / Alamy / Alamy / Profimedia

The new bailout, which saw the German state take control of the company, is the latest in a series of billions of euros poured into the energy company by the Berlin government to stave it off from bankruptcy.

The nationalization of the country’s largest natural gas importer is the second move in just a week by Olaf Scholz’s government to keep the energy sector afloat amid the crisis caused by Gazprom.

The Russian state-owned company announced in early September that the supply of natural gas through the Nord Stream 1 pipeline, which supplies gas to Germany, would be suspended “indefinitely” after a gradual reduction in exports from the summer until the pipeline reached only 20% capacity from the total power.

Last week, the German government also took control of a Russian oil refinery that supplies 90% of the fuel used by the capital, Berlin.

Hundreds of German companies depend on Uniper

“The state will do everything possible, and this is what we are now demonstrating, so that companies remain stable on the market,” German Economy Minister Robert Habeck told reporters on Wednesday.

Uniper’s customers are hundreds of municipal enterprises and energy suppliers in Germany. When the prices are passed on to customers from October, the additional fees could “be 200 or 300 euros a year for a family of four”, Olaf Scholz warned in July.

However, he assured that the state “will”.

“You’ll Never Walk Alone,” the chancellor repeated several times, taking the name of this anthem dear to many football fans. Olaf Scholz has promised to prevent the bankruptcy of Uniper, which threatens, through a domino effect, to displace the energy market and lead to winter shortages in Germany.