Consumer protection advocates have voiced criticism regarding a draft law proposing subsidies for electricity grid costs, originating from the office of Economics Minister Katherina Reiche. Ramona Pop, Executive Board member of the Federation of German Consumer Organizations (BZBV), stated on Friday that the federal government’s relief plans continue to disproportionately focus on businesses.
The proposed grid cost subsidies are projected to benefit industry more substantially than individual consumers. Pop indicated that, depending on the region, electricity cost relief for some households is “likely to have minimal impact.
The consumer advocates urge the federal government to fulfill its commitment to providing tangible relief to consumers. They advocate for reducing electricity price surcharges and implementing the previously announced reduction in electricity tax for all consumers, as outlined in the coalition agreement.
The coalition agreement between the governing parties stipulated a commitment to alleviate the financial burden on both businesses and consumers by “at least five cents per kWh” through a series of measures. These included an initial measure to reduce electricity tax to the European minimum and reduce surcharges and grid fees. However, the proposed measure is currently absent from the draft federal budget for 2026.