BERLIN (dpa-AFX) - The leaders of the CDU/CSU and SPD have so far failed to reach an agreement on a further reduction of the electricity tax. This was learned by the German Press Agency following a meeting of the coalition committee in Berlin, according to coalition sources. For the time being, everything regarding electricity will remain as agreed upon by the cabinet, it was said.
The cabinet had decided that the reduction of the electricity tax for the industrial, agricultural, and forestry sectors should be "stabilized." The fact that the electricity tax--contrary to what was announced in the coalition agreement--will not be lowered for everyone, meaning not for all businesses or for private households, has sparked widespread criticism.
Chancellor Friedrich Merz (CDU) and Federal Finance Minister Lars Klingbeil (SPD) justified the decision on the electricity tax by citing budgetary constraints.
The central question remains how a reduction of the electricity tax for all businesses and consumers could be financed--according to the Federal Ministry of Finance, this would cost around EUR5.4 billion more next year. To do so, the coalition would have to make cuts to other projects./mfi/DP/stw
