The German federal government has approved further measures aimed at reducing energy prices, with the cabinet moving forward with a comprehensive electricity price package on Wednesday
The plan centers on lowering electricity tax and providing relief from transmission system charges for both businesses and consumers Amendments to the Energy Tax and Electricity Tax Acts will establish a permanently reduced electricity tax rate – aligning with the EU’s minimum tax rate – for manufacturing businesses, as well as agricultural and forestry operations This follows a previously approved decision to abolish the gas storage levy
Federal Finance Minister Lars Klingbeil stated that the lower energy prices will help to secure jobs throughout Germany, adding that the initial measures are designed to provide significant relief to over 600,000 producing businesses, ranging from small workshops to large industrial companies Simultaneously, the minister indicated that these steps are also intended to benefit citizens However, a reduction in electricity tax for all consumers is not currently planned as part of this initial phase