The Bavarian state government is providing more money than previously planned to help Bavarian citizens, small and medium-sized companies and institutions in the crisis.

At the end of the 2023 budget, Prime Minister Markus Söder (CSU) announced that the hardship fund, initially planned at 500 million euros, would be increased to 1.5 billion.

Timo Frasch

Political correspondent in Munich.

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Anyone who does not benefit, or does not benefit enough, from the federal relief packages, which are co-financed by the federal states, and whose existence is threatened, should be eligible to apply.

Since it is becoming apparent that the federal government will only cushion gas and electricity costs, Söder announced that the Free State will support households that heat with oil or pellets.

The Free State also wants to support hospitals, cultural and educational institutions and sports clubs from the hardship fund.

Faster expansion of renewable energies

In addition, the expansion of renewable energies is to be accelerated.

An additional 500 million euros will be made available for this purpose.

The focus is on setting up domestic hydrogen production, which is to be funded with 150 million euros.

50 electrolysers that convert renewable energy into hydrogen are to be built across Bavaria.

The Free State is also examining participation in "local energy companies" (e.g. Bayerngas) in order to accelerate the necessary expansion of the line for hydrogen transport.

For this purpose, the Eon shares of the Free State should possibly be sold.

As Economics Minister Hubert Aiwanger (free voters) said, hundred jobs will be created in the district governments to support the planning of new wind turbines.

20 million euros are being made available for the construction of a hydroelectric power station on the Salzach.

Söder and Finance Minister Albert Füracker (CSU) emphasized that there would be “no shadow budget”, “no tricks” in Bavaria.

Although three billion euros would have to be taken from the reserve, there would still be a "significant amount in the billions" left, and the debt brake would be observed.