Several days before the planned implementation of the fuel discount, the Federal Association of Consumer Organisations (VZBV) criticized the tax reduction for drivers and called for targeted assistance for low-income individuals. During an interview with the “Neue Osnabrücker Zeitung” (noz), VZBV head Ramona Pop stated that the last fuel discount only partially benefited consumers, but was very expensive. She suggested that a better approach would be to reduce energy costs overall. This sentiment is echoed by the EU Commission, which currently urges for a reduction in the electricity tax down to the European minimum, pointing out that Germany has some of the highest electricity prices. Currently, the fuel price for all car drivers is set to drop by about 17 cents per liter due to a reduction in energy taxes on fuels.
According to Pop, the fuel discount would also benefit people who do not require assistance. Therefore, the consumer advocate is advocating for targeted relief: “We have long been calling for direct payments for low-income households to ease their burden directly and easily during times of crisis” Pop told the noz.
However, the consumer advocate supports Finance Minister Lars Klingbeil’s (SPD) plan to finance the fuel discount costs through a windfall tax on oil corporations. Furthermore, Pop demands stricter regulation of oil companies: “We need rules to ensure that corporations do not enrich themselves at the expense of consumers”.
Pop also considers the possibility of implementing price caps, similar to those already used in Luxembourg or Belgium. She believes the government must also prepare a better “mix of measures” to cushion against sudden price jumps. Crucially, she stipulated that all measures must guarantee that tax relief payments reach the citizens completely.
