Bundescancer Olaf Scholz (SPD) emphasized the large volume of the new relief measures in view of rising prices. More than 65 billion euros are planned for the third relief package. With the first two packages decided earlier in the year, the total would be 95 billion euros, Scholz emphasized when presenting the results of the coalition committee on Sunday in Berlin.
It’s about a lot of money, but the expenses are necessary, said Scholz. Regarding the goal of the relief, he said: “It’s about leading our country safely through this crisis.” Many people were currently worried. “We take all these concerns very, very seriously.” The Chancellor emphasized again: “You’ll never walk alone, we won’t leave anyone alone.”
Specifically, the package provides for a one-time payment of 300 euros for pensioners, students should receive a one-time payment of 200 euros. Those entitled to housing benefit received an additional heating cost subsidy of 415 euros. With the abolition of taxation of pension amounts from 2023, pensioners would also be relieved by an additional five billion euros.
In addition, the federal government is to provide 1.5 billion euros for a follow-up solution for the 9-euro ticket. The prerequisite is that “the federal states make at least the same amount available,” says the paper. The goal is an “attractively priced ticket” in the range of 49 to 69 euros per month for a nationwide public transport ticket.
According to the traffic light coalition, a reduced price should apply for a certain basic consumption of electricity in the future. For an additional consumption beyond that, the price would not be limited. This emerges from the resolution paper of the coalition committee of the SPD, Greens and FDP, which was published in Berlin on Sunday.
In addition, excessive profits on the electricity market should be skimmed off, announced Scholz. He spoke of a “great and dramatic relief” on the electricity market. “So the first task is to use such chance profits to relieve the burden on the citizens.”
The decision paper says: “In addition, possibilities of skimming off chance profits from energy companies are being discussed at European level, which in the current market situation due to the European electricity market design go well beyond the usual returns. This includes, in particular, revenue and price caps for particularly profitable electricity producers.”
With the planned introduction of the citizens’ allowance at the beginning of next year, the SPD, Greens and FDP want to increase the standard rates for the needy to around 500 euros. This was decided by the coalition committee of the traffic light alliance in Berlin, as can be seen from the results presented on Sunday. Today, single people receive basic security of 449 euros per month. Child benefit should also be increased. At the beginning of the year, it should increase by 18 euros per month for the first and second child.
The coalition’s deliberations began on Saturday afternoon and continued into Sunday night. “It is finished. Very good result,” Minister of Justice Marco Buschmann (FDP) tweeted on Sunday morning at 6:13 a.m. Negotiations had started 18 hours earlier. It is already the third package of measures intended to offset the drastic price increases – especially in the energy sector – as a result of Russia’s war of aggression against Ukraine.
In addition to Scholz, Finance Minister Lindner and Vice Chancellor Robert Habeck (Greens), several other ministers and the leaders of the three parliamentary groups and parties took part in the negotiations. The coalition partners had raised expectations themselves before the decision was made. Lindner and SPD parliamentary group leader Rolf Mützenich had promised a “massive package”.