Söder pushes for universal electricity tax cut

Söder pushes for universal electricity tax cut

Ahead of a coalition committee meeting, Bavarian Minister President and CSU Chairman Markus Söder urged leaders from the Union and SPD to maintain their commitment to reducing the electricity tax for all consumers. Speaking to the German television channel “Welt” on Wednesday afternoon, Söder stated that this was a point agreed upon in the coalition agreement and that upholding their word was crucial.

While emphasizing the importance of fulfilling the agreement, Söder expressed openness to finding compromises to resolve the current conflict. He suggested potential solutions including phased reductions, a simultaneous decrease, or increased reductions in network fees. Söder believes that the government would benefit from delivering on its announced policies.

The CSU leader also voiced dissatisfaction with the coalition’s communication surrounding the electricity tax reduction. He felt the messaging had been “a bit unfortunate” suggesting the change should have been presented alongside reductions in network fees and the elimination of the gas levy for gas customers, financed through the Climate and Transformation Fund.

Söder claimed he was not involved in the decision regarding limitations on the electricity tax reduction before the federal cabinet’s approval of the budget. “I was not aware of it” he asserted.

The coalition agreement outlines a commitment to permanently relieve businesses and consumers in Germany by at least five cents per kilowatt-hour through a package of measures. This includes an immediate reduction in the electricity tax to the European minimum level, alongside reductions in levies and network fees. The agreement also aims to provide planning security by permanently capping network fees.