The month of September brought in Germany the end of the reduction of the fuel tax and the monthly payment to nine euros, but it also came with a bonus of 300 euros in the salary, subject to taxes.
With temperatures starting to drop, concern is mounting among Germans over a lack of gasoline in Europe’s largest economy and rising energy prices. The changes begin to be noticed from the beginning of the month, with the government assuring that it will do everything possible to help the population.
For three months, Germans were able to travel by public transport throughout the country for nine euros. The discount came to an end on September 1 and Berlin wanted to adopt a version of this monthly pass starting in October. The measure is generating controversy in the other federal states.
In total, around 52 million passes were sold in June, July and August, and there have been several protests demanding the return of the measure. On Monday, a petition with 450,000 signatures was delivered to that effect, addressed to the Minister of Finance, Christian Lindner.
The discount of the energy tax on fuels, which was in force for three months, also ended. The prices of gasoline and diesel rose on the first day of September, exceeding two euros per liter in several stations.
These two measures served as a “shock absorber” for the rise in inflation, which reached 7.9 percent in May, after falling in the following two months, falling to 7.5 percent in July.
However, the Federal Statistical Office announced on Wednesday that the annual inflation rate in Germany rose again in August to 7.9 percent, the highest level in almost half a century.
To relieve consumers, the Government decided to add to the payroll of all workers, including those who work part-time, an incentive of 300 euros subject to tax. It is not yet clear how long the transfers will take.
At a press conference, Christian Lindner stressed that at least 18 months are needed to collect all the data and added that, at present, 100,000 transfers from the public administration directly to citizens per day are possible.
However, the finance minister assured that “technically viable paths will be found.”
This week, Russian oil company Gazprom again cut off gas supplies through the Nord Stream 1 pipeline, citing the need for maintenance, jeopardizing the recent drop in gas and electricity prices.
Source: TSF
