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Germany's electricity price cap to cost 14.5 billion eur until May - document

Published 24/01/2023, 16:09
© Reuters. FILE PHOTO-An electrical power pylon with high-voltage power lines is seen next to wind turbines near Weselitz, Germany November 18, 2022. REUTERS/Lisi Niesner

BERLIN (Reuters) - Germany plans to spend 14.5 billion euros ($15.75 billion) to finance its electricity price cap until May, a government document seen by Reuters showed, as part of a relief package Berlin set out last year to shield households and firms from surging energy prices.

In addition, some 2.14 billion euros will be needed to subsidize transmission network costs in February and March, a letter from Finance State Secretary Florian Toncar to the lower house of parliament's budget committee showed on Tuesday.

The government will finance the cap, which came into force this month and will run until the end of April next year, through a 200 billion euro package that was set out to shield households and the industry.

© Reuters. FILE PHOTO-An electrical power pylon with high-voltage power lines is seen next to wind turbines near Weselitz, Germany November 18, 2022. REUTERS/Lisi Niesner

The spending plan is still subject to the budget committee approval expected on Wednesday.

($1 = 0.9210 euros)

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