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Bundestag Approves EUR200bn Energy Relief Plan

GERMANY

Following a vote earlier this morning to suspend the constitutional debt brake, Bundestag members have voted to approve the massive EUR200bn energy relief plan put forwards by the gov't of Chancellor Olaf Scholz.

  • DW reports that, "...the fund is set to last until 2024 and will finance energy price caps and subsidies. Private households could benefit from a price cap of 80% of their usual consumption starting March.The price cap for big companies could come into effect as soon as January."
  • The significant package of relief has caused consternation in other EU member states that are unable to put together such substantial support schemes. The sizeable relief afforded to big businesses in the form of a price cap has led to accusations that the scheme counts as state aid and will make other industries in other EU states uncompetitive.
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