Von der Leyen criticizes Germany for its aid plan: "Without a common solution, there is a risk of fragmentation"
Germany
is going to set a
cap on gas
for households and small and medium-sized businesses at
12 cents per kilowatt hour
and, in the case of
heating, at 9.5 cents per kilowatt hour
.
Those are the limits reflected in the agreement between the federal government and the federated states that Foreign Minister
Olaf Scholz
will present this Wednesday and to which this newspaper has had access.
They are significant discounts.
Prices for new gas supply contracts
currently
stand at an
average of 21 cents per kilowatt hour.
For
large industrial companies
, the government and the "Länder" - the federal states - also agreed on substantial cost relief.
From January 2023 to April 2024, it will reduce the cost of gas to
7 cents per kilowatt hour (net)
for a
basic gas quota of 70% of the historical consumption of companies.
This will apply both to the generation of heat in production, and to the use of gas as a raw material for the production of other chemical and non-chemical goods.
The Government will make
extensive use of the room for maneuver offered by European legislation on state aid
.
No restrictions ("minimum") are applied up to a value equivalent to the price of subsidized gas of
2 million euros per company throughout the period.
According to the agreed document and in the absence of a couple of parentheses to settle,
the gas price cap will be introduced on March 1, 2023,
as the experts propose, but it will have a
retroactive effect from February 1, 2023
. brake will be applied to gas and district heating of consumers of the so-called standard load profile (SLP), as well as consumers with registered power measurement (RLM)
provided that their consumption is less than 1.5 gigawatt hours per year.
According to the proposal of the Committee of Experts, consumers will receive a
regular monthly reimbursement
based on
80% of the consumption of the previous year,
since the consumption of the previous year is the annual consumption forecast on which the payment to September 2022 account.
If citizens use less gas or heating
, they will be able
to further reduce their
gas bill beyond the relief provided by the gas price brake.
The reason is that the monthly relief provided by the gas price cap
does not have to be repaid
,
even if the actual amount consumed is significantly less than 80% of the previous year's consumption.
This means that for every kilowatt hour of gas saved, citizens save the current high market price per kilowatt hour, which is significantly higher than the capped price of 12 cents.
But due to the limited amount of gas available,
there is still an urgent need to save as much gas as possible.
Relief for citizens and businesses, however, will not wait.
To save time until the introduction of the gas price brake on March 1, 2023,
the Federal Government will take over the installment payments for gas and district heating due in December
under the emergency aid.
This applies to consumers and SMEs in the SLP standard load profile, as well as consumers (except electricity and heat generation plants) with registered energy metering (RLM), as long as their consumption is less than 1 .5 gigawatt hours per year.
In the case of
tenants
whose gas or district heating consumption
is only invoiced in arrears
through the owner's annual statement of operating expenses,
the relief is made by means of a credit in the statement of operating expenses
.
If tenants have already received a rate increase in 2022, they will be released from this increase in December.
Cap also on the price of electricity
For its part,
the price of electricity will be limited to 40 cents per kilowatt hour.
The difference between the market price to be paid and the maximum limit will be
compensated by the suppliers
directly with the monthly fee as a
deduction
.
The amount of electricity for this deduction is based on a basic quota of 80% of the annual consumption forecast, which was used as the basis for the billing of the September 2022 budget for citizens and SMEs.
For industrial companies, electricity prices are capped at 13 cents per kilowatt hour for 70% of the previous year's consumption.
In addition,
it will be ensured that network fees do not increase in 2023.
To finance the relief in the electricity sector,
random profits
in electricity generation, as well as in gas, oil and coal companies and in refineries, will be taxed for a limited period of time.
A hardship plan will also be financed with
resources from the Economic Stabilization Fund, paying
special attention to areas where, despite the cap on the price of electricity and gas, the financial charges are very high.
The Federal Government has earmarked a total of
12,000 million euros
for this purpose.
The hardship provisions will also apply to
hospitals, university clinics and care homes
, to help them cope with rising energy costs.
Although they also benefit from capping gas and electricity prices, they are particularly disadvantaged and cannot always quickly reduce energy costs through lower consumption or greater energy efficiency.
For this reason, the Federal Government makes
funds of up to €8 billion
available to you through the WSF as part of the total of €12 billion for hardship cases.
Aid to the most disadvantaged
For
low-income households,
high heating costs, as well as rising rents, place a considerable burden.
In many cases, your income is not enough to cover the drastic increase in costs.
To specifically support these households, there is
housing assistance, which is paid as a rental subsidy.
In the case of
owner-occupied real estate,
it is paid as
a lien benefit.
The housing subsidy is only paid to people who do not receive transfer subsidies (such as basic income support).
So far,
some 640,000 households in Germany receive housing benefits
.
With the reform of the housing benefit, the Federal Government and the Länder
will relieve more
low-income citizens with an
improved housing benefit from January 1, 2023.
By changing the income limits for housing,
some two million of homes
with low income will be able to receive the housing subsidy in the future.
In addition, the benefits of the housing allowance will be improved: To compensate for the considerable additional burdens caused by rising heating costs, a heating cost component will be permanently anchored in the housing allowance and a climate component will be introduced for relieve housing subsidized households from cost increases resulting from measures to improve the energy balance of residential buildings.
The Federal Government and the Länder will continue to jointly finance
half of the housing aid.
In addition, the federal government will refinance a
subsidy for heating costs
for all those who already receive the housing subsidy.
Their goal is to help those affected as quickly as possible with rising heating costs.
Germany has already launched three large aid packages and an economic defense shield, the latest of which provides coverage of
€200 billion.
The Länder have also provided their own aid and support measures, which place a considerable financial burden on the public budgets of the Federation, the Länder and the municipalities.
Therefore, it is planned that if the municipal services have
liquidity needs
due to the current situation, they can request it from the
state development banks,
if necessary.
In addition, and at the request of the federal states, the Government has accepted, as an extra measure of relief for citizens
, the creation of a digital "German ticket"
for
local public transport (ÖPNV)
valid throughout Germany at an introductory price of
49 euros per month
in the form of a monthly payment that can be canceled.
This will significantly increase the attractiveness of local public transport and will also help achieve climate goals.
The federal government and the Lander will contribute to this monthly transport subscription
1,500 million euros per year each from 2023.
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