Berlin – German Chancellor Olaf Scholz wants to pull the brakes on electricity prices as quickly as possible, which is included in the newly announced third package of relief for households and businesses. He said this in an interview with German public television ZDF, in which he called the removal of the so-called excessive and unexpected profits of energy producers the first step. From these profits, the German government wants to reduce the price of electricity.
“We still have to make a number of decisions, to enforce many regulations. The first is that we will take away the windfall profits that are now created in the electricity market,” Scholz said. He explained that many producers continue to produce electricity at affordable prices, but due to the shape of the European market, the final price of electricity is determined by gas plants.
When asked what amount of funding Germany could gain by withdrawing such profits, the chancellor did not specify any specific amount. He said that it depends on market developments and that if such windfalls and windfalls are on a large scale, it will mean many, many billions of euros for residents to compensate for energy prices.
German government parties today presented a package of relief measures in the amount of 65 billion euros (1.6 trillion crowns). In it, the government coalition states that the possibilities of siphoning off excessive profits are being discussed at the level of the European Union.
Scholz emphasized in the interview that his government will do everything to not leave anyone alone to face high energy prices. “Citizens’ concerns are also my concerns,” he said. To the moderator’s remark that 70 percent of respondents expressed dissatisfaction with the work of the coalition of Social Democrats, Greens and Liberals in one of the polls, the chancellor replied that his government is leading the country in difficult times.
Regarding the coming winter and possible energy problems due to uncertain gas supplies from Russia, Scholz said Germany is well prepared. “It’s because we started preparing early,” he said. “At the beginning of the year, we will commission the first of the liquefied winter gas terminals,” he said. He stated that he disagrees with the opinion of the head of the conservative opposition, Friedrich Merz, according to which Germany is at risk of power outages. “We will do everything to prevent them from happening. I am sure we will be spared them,” he added.
At the end of the interview, Scholz again defended Germany’s progress in supplying weapons to Ukraine, which is facing a Russian invasion. Scholz said that Germany was supplying effective weapons in concert with the Allies. “There will be no independent German route in the supply of weapons,” he added.
EU Germany Energy Inflation Scholz