Germany intends to impose a cumbersome cap on energy bills for families
Germany intends to cap electricity and natural gas prices to help families and businesses cope with the surge in energy prices, the Wall Street Journal reported Monday, citing German government officials.
According to sources in the Journal, the plan for a price cap in Europe's largest economy could become official in the coming weeks if the EU does not agree on a price cap for the entire bloc, which appears likely.
Elsewhere in Europe, in the UK, for example, there is a cap on the energy bills that energy suppliers can charge to customers. The new UK has just announced that it plans to cap annual household energy bills at £ 2,500 for two years.
Unlike the UK price cap and a similar measure introduced in France, the roof in Germany would rather impose a levy on electricity companies billing more than a certain amount, yet to be determined, the Journal sources say. The money raised from the producer tax would then be distributed to operators providing energy to end users, which would allow for lower energy prices for end users. A cumbersome system that will lend itself to manipulation, but they are Germans, what do you want them to do.
Many German energy-intensive industries and companies are already feeling the brunt of the surge in natural gas and electricity prices. Some have reduced production or shut down entire production lines, many others are planning to do so.
The Bundesbank, Germany's central bank, said in its monthly report last week that the German economy is sliding into recession, which will worsen in the winter months due to the energy and natural gas crisis.
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The article Germany intends to impose a cumbersome ceiling on energy bills for families comes from ScenariEconomici.it .
This is a machine translation of a post published on Scenari Economici at the URL https://scenarieconomici.it/la-germania-intende-imporre-un-macchinoso-tetto-alle-bollette-energetiche-per-le-famiglie/ on Mon, 26 Sep 2022 17:13:40 +0000.