The German Monopolies Commission is calling on the next federal government to finally divest from the DAX companies Deutsche Telekom and Deutsche Post.
“We are demanding the sale of the federal shares in Telekom and Post during the next legislative period” said Tomaso Duso, the new head of the Monopolies Commission, in an interview with the Süddeutsche Zeitung. The independent commission advises the federal government on competition issues, but lacks the authority to make decisions. “It’s now the right time for a complete privatization of Telekom and Post, which would also be good for the competitive market.”
The commission no longer sees a justification for the federal government’s involvement in these companies for the sake of public utility. The federal government currently holds a 27.8% stake in Telekom, with the KfW state bank holding nearly 14% and a 16.5% stake in DHL. The value of these shares is over 50 billion euros. “The billion-euro profits could be used, for example, for general provisions in the form of infrastructure investments” Duso said.
The commission also reiterated its support for the breakup of Deutsche Bahn. “We support the idea of dividing the Bahn company in a property-law sense. I’m glad that Mr. Merz brought this up in the discussion with Mr. Scholz” said Duso, adding, “Now, there might be a window of opportunity for a large reform of the Bahn.” This would not immediately solve the current problems of the Bahn, but would create the conditions for more competition, according to the economist.