Energy crisis: Traffic light coalition agrees on relief

After hours of negotiations, the coalition agreed on further financial relief for the people of Germany.

Energy crisis: Traffic light coalition agrees on relief

After hours of negotiations, the coalition agreed on further financial relief for the people of Germany. The German press agency learned this on Sunday morning from negotiating circles in Berlin. Details were not known for the time being. Chancellor Olaf Scholz (SPD) does not want to announce the results until 11 a.m. at a press conference. The Chancellery had already announced this during the ongoing deliberations of the leaders of the SPD, Greens and FDP.

Negotiations began on Saturday afternoon. A package of targeted relief was planned to compensate for the drastic price increases in the course of Russia's war of aggression against Ukraine. The summit meeting was preceded by weeks of discussions.

In the early evening, a few traffic light politicians caught some fresh air in small groups of talks on the balcony of the Chancellery. Details of the negotiations were not known for the time being. During the night it became clear that the coalition did not want to announce its results until Sunday.

In addition to Scholz, Vice Chancellor Robert Habeck (Greens) and Finance Minister Christian Lindner (FDP) took part in the negotiations. Other ministers and the heads of the three parliamentary groups and parties were also gathered in the Chancellery.

Targeted help for pensioners and students

The pressure on the coalition partners had continued to grow before the decision was made. They had also raised their own expectations. Lindner and SPD parliamentary group leader Rolf Mützenich spoke of a "massive package".

At a cabinet meeting in the middle of the week, Scholz had announced a relief package that was “as tailor-made as possible, as efficient as possible, as targeted as possible”. Among other things, targeted help for pensioners and students, tax cuts and a successor regulation for the 9-euro local transport ticket were discussed. Scholz said at the exam in Meseberg near Berlin: "We are working on a large building, and the architecture of this building depends on all the individual parts, which only result in a good construction together."

With the first two relief packages, the electricity price surcharge to promote renewable energies (EEG surcharge) was abolished, there is an energy flat rate of 300 euros for all employees and a one-off payment of 100 to 200 euros for all unemployed, child benefit was increased once by 100 euros per child, fuel prices were supported for three months until August, and there was a 9-euro ticket for local public transport for the months of June, July and August.

According to their own statements, trade unions, the left and the AfD may want to call on dissatisfied people to protest in the fall. IG Metall Chairman Jörg Hofmann told the German Press Agency: "It's about no less than the question of whether it will be possible to relieve the burden on citizens effectively and understandably, or whether the growing uncertainty will lead to a break in social cohesion leads."

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