Germany’s leading consumer advocacy group, the Federation of German Consumer Organisations (VZBV), is calling for a reduction in electricity tax for private households. Ramona Pop, the VZBV’s board member, expressed concern Thursday that a draft from the Federal Ministry of Finance does not include any tax relief for consumers, despite promises made in the governing coalition agreement.
The VZBV is urging the federal government to lower the electricity tax to the European minimum level for all consumers. Pop argued that reducing network charges alone will not achieve the promised relief of five cents per kilowatt-hour. She further cautioned that the introduction of a new levy to fund the construction of new gas-fired power plants could potentially turn the intended relief into a financial burden for consumers.
The draft from the Ministry of Finance proposes a lasting extension of the electricity tax reduction for industry, agriculture and forestry. However, private households are not included in this measure, a discrepancy the VZBV highlights as a breach of the coalition agreement. The agreement between the governing parties stipulated a relief package aimed at reducing costs for both businesses and consumers by at least five cents per kilowatt-hour, with a reduction in electricity tax for all identified as an immediate step.
Pop emphasized the importance of considering the interests of consumers alongside those of businesses, warning that a solely business-focused approach could erode public trust in the government.
