2022-10-24 12:15:00
GERMANY'S ENERGY CRISIS HELP €200 BLN
E - 24 Oct 2022 - Germany’s Parliament, the Bundestag, has approved the German Government’s €200bn rescue package that aims to protect companies and households from the impact of soaring energy prices. The fund is set to last until 2024 and will finance various energy price caps and subsidies. Private households could benefit from a price cap of 80% of their usual consumption starting in March 2023, and the price cap for companies could come into effect as soon as January 2023. The package also included a cut of gas and district heating sales tax from 19% to 7%.
Simultaneously, the Bundestag also voted to suspend Germany’s constitutional debt brake in order to facilitate the financing of the rescue package’s The debt brake usually limits the federal government's structural net borrowing to 0.35% of the country’s GDP but can be lifted in the event of natural disasters or exceptional emergencies beyond the control of the state and significantly affecting the state's financial position.
This €200bn package is expected to include a €96bn subsidy scheme which was introduced earlier in October 2022. In the scheme, from March 2023 to the end of April 2024, private households would pay €12c/kWh for the first 80% of the previous year’s use of gas. From 1 January 2023 until the end of April 2024, industrial tariff for 70% of the prior year's use would be set at €7/kWh.
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Earlier:
2022, October, 20, 14:20:00
GERMANY'S GAS WINTER HOPE
"If we continue to meet our savings target of at least 20% in Germany, if three LNG terminals start operating at the beginning of next year at the latest, and if the expected winter-related decline in imports and the rise in currently low exports remain moderate, then we can get through the winter without a national gas emergency," he said in a statement.
2022, October, 20, 14:15:00
EUROPEAN WINTER RISKS
While Europe lacks transparent data on who owns stored gas, the bulk is held by utilities, including state-owned companies, that will need to withdraw fuel to supply households and manufacturers, according to people familiar with the matter.
2022, October, 19, 12:00:00
EUROPE, RUSSIA SANCTIONS ANEW
The bloc’s eighth round of sanctions state that if a tanker owner transports Russian crude above an agreed price threshold, their ship would be prohibited from getting EU services needed to ship the commodity, such as insurance, “in the future.”
2022, October, 19, 11:40:00
GERMAN NUCLEAR CONTINUATION
Germany could face power shortages this winter without the supplies of Russian gas on which its economy has relied.
2022, October, 7, 10:20:00
GERMANY'S GAS REDUCTION
The head of Germany's Federal Network Agency, which would be in charge of gas rationing in the event of a supply emergency, repeated his warning a week ago that consumption was too high.
2022, October, 6, 13:10:00
GERMAN ENERGY SUPPORT 200 BLN EUROS
European countries should guard against distorting the common market with billions in state support and must maintain a level playing field
2022, October, 6, 13:05:00
GERMAN ECONOMY DROP
Germany is rushing to minimize the impact of surging energy costs after Russia curtailed supplies of natural gas in retaliation for sanctions imposed after its invasion.
