Brandenburg aid package no longer to be financed with loans

Household - Brandenburg aid package no longer to be financed with loans

The Brandenburg Aid Package should be funded from the budget instead of new debts as a consequence of the Constitutional Court's judgment, according to Finance Minister Katrin Lange (SPD). The supplementary budget 2024 is unlikely to meet the court's standards, Lange stated in a special session of the Landtag on Thursday. Therefore, she proposed that the special legislation for financing these measures no longer be used this year. This is because the special legislation 2024 has not significantly changed the connection between the emergency situation and the aid measures that the court demanded.

A new supplementary budget would then be necessary. The Constitutional Court had declared the regulations of 2022 for the aid package to mitigate the energy crisis following the Ukraine War invalid on Friday. The court granted the AfD Landtag faction's appeal in this regard. However, the court clarified that the approved payments are not at risk retroactively. According to the Finance Ministry, around 850 million Euros in aid measures from the Brandenburg Package have been approved for this year.

Judgment Constitutional Court Brandenburg on Aid Package

1. The Brandenburg Government, led by Finance Minister Katrin Lange from the SPD, is advocating for the Brandenburg Aid Package to be funded from the budget instead of incurring new debts, following the Constitutional Court's judgment on the matter.
2. Lange emphasized in a special meeting of the Landtag on Thursday that the supplementary budget 2024 is unlikely to meet the standards set by the State Constitutional Court.
3. Consequently, Lange suggested abandoning the use of special legislation for financing these measures in 2023, as the special legislation 2024 has failed to substantially alter the relationship between the emergency situation and the aid measures demanded by the Constitutional Court.
4. The AfD Landtag faction successfully appealed to the Constitutional Court, which declared the regulations for the 2022 Brandenburg Aid Package, implemented to alleviate the energy crisis following the Ukraine War, invalid on Friday.
5. Despite the invalidation of the former regulations, the Constitutional Court clarified that the previously approved payments for aid measures from the Brandenburg Package are not at risk of being rescinded retrospectively.
6. As a result of these developments, the Finance Ministry anticipates that around 850 million Euros in aid measures from the Brandenburg Package will be executed during this year.

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