The federal and state governments agree on measures worth billions to combat high energy prices and rising inflation. But what do these look like in detail? And when do they apply?
With many billions, the state is helping citizens and companies because of the massive increase in energy prices and inflation. After a heated argument between the federal and state governments about the distribution of the costs, an agreement was reached at a meeting between Chancellor Olaf Scholz and the prime ministers of the states in the evening. An overview:
gas price brake
To relieve households and smaller companies from the high energy prices, a gas price brake will come into effect in March at the latest. It is planned that a capped gas price of twelve cents per kilowatt hour will apply to 80 percent of the previous year's consumption. The contract price is to be paid for everything above this. For district heating, 9.5 cents per kilowatt hour apply. The aim is to have the brake by February.
For industry, the gas price brake will take effect from January - because it is excluded from the one-time payment decided in December. The gas costs are to be reduced to seven cents per kilowatt hour for a basic gas quota of 70 percent of the company's historical consumption.
Electricity price brake
The electricity price brake will also come on January 1st. Households and smaller companies are to be relieved in the same way as the gas and district heating price brakes - with an electricity price of a maximum of 40 cents per kilowatt hour for a basic quota of 80 percent of the annual consumption forecast. For industrial companies, electricity prices are capped at 13 cents for 70 percent of the previous year's consumption.
The whole thing is to be financed via the 200 billion euro defense shield that was decided on during the energy crisis and via a temporary skimming off of so-called random profits from energy companies.
Energy costs of hospitals and hardship regulations
A hardship case regulation was also agreed for all areas in which there are still high financial burdens despite the energy price brakes. Twelve billion euros are planned here, including up to eight billion euros for hospitals and care facilities.
The high prices for other heating materials such as oil and wood pellets are also to be absorbed by a hardship regulation. Funds of up to one billion euros are also earmarked for cultural institutions that are not satisfied with the energy price brakes.
49 euro ticket for public transport
The federal and state governments have agreed on a follow-up regulation for the nationwide nine-euro ticket for local public transport from the summer. A digital, nationwide valid "Deutschlandticket" is planned at a price of 49 euros per month. It should be introduced as soon as possible, ideally at the turn of the year.
From 2023, the federal government will provide 1.5 billion euros a year to offset losses, and the federal states will contribute the same amount. In addition, the federal government will provide an additional one billion euros in funds for the maintenance and expansion of local transport from 2022 - these will be increased by three percent annually.
housing benefit reform
People who do not receive social benefits but have little money to live on can apply for housing benefit. Most recently, around 640,000 households were eligible. The federal government wants to more than triple the number of recipients to two million households by January 1st.
Since the average payments are also increasing, the costs increase to around 5.1 billion euros, according to the Ministry of Construction. The federal and state governments continue to share the cost of housing benefit. The federal government also wants to finance a new heating subsidy for everyone who is already receiving housing benefit.
refugee costs
Around a million people fled to Germany as a result of the Ukraine war, and the number of asylum seekers from other countries is also increasing. Municipalities are heavily challenged by the costs of accommodation, care and integration. The federal government is providing an additional 1.5 billion euros this year and next. In addition, the federal government will provide 1.25 billion euros per year from 2023 for costs for refugees who do not come from Ukraine.
