Germany to cut taxes at gas stations for three months

The German Bundestag decided late Thursday evening to reduce the energy tax on fuel in June, July and August to the minimum allowed in the European Union. In the case of gasoline, the tax component is reduced by 29.55 cents a liter – including VAT by approximately 35.20 cents. In the case of diesel, there is minus 14 cents or 16.7 cents with VAT.

“In this way, we are reducing fuel prices to the pre-crisis level,” said Social Democrat MP Carlos Casper. Til Mannesmann of the Free Democratic Party explained that people who depend on mobility will be exempted from more than 1 billion euros per month. However, the measure is controversial: although prices at gas stations exploded after the Russian attack on Ukraine, they have since fallen significantly again.

No dissenting voices

However, the law passed the Bundestag without dissenting votes, and opposition factions abstained. The tool was correct, but the three-month period was too short, said Johannes Steinger, a member of parliament for the Christian Democratic Union. Even at the end of August, when the measure expires, the crisis in Ukraine and high gasoline prices will likely continue.