Electricity prices - Consumers face new electricity levy
For the construction of new and the modernization of existing natural gas power plants, the federal government is planning a new levy on the electricity price. This was reported from the Federal Ministry of Economics. The new facilities are intended to help maintain the power supply even with an increasing share of renewable energies. When the sun doesn't shine and the wind doesn't blow, they are supposed to step in.
Verivox expects additional costs of several Euros per month
According to the "Frankfurter Allgemeine Zeitung," quoting information from Berlin, the order of magnitude of the planned levy should be a "small decimal place." Based on other levies on the electricity price, the price comparison portal Verivox assumes that a family will have extra costs of between one and three Euros per month with the new levy.
Taxes, fees, and levies accounted for approximately 31 percent of the electricity price in the current month, according to Verivox. Thirty percent went towards grid fees, and the remaining 39 percent went towards electricity procurement and the margin of electricity providers. Before the elimination of the Renewable Energy Sources Act levy - which financed the expansion of renewable energies - in July 2022, the state's share of the electricity price was significantly higher.
Result of the budget agreement
This project is part of the plans for a new power plant security law, which Chancellor Olaf Scholz (SPD), Economics Minister Robert Habeck (Greens), and Finance Minister Christian Lindner (FDP) agreed on in the past week. In total, capacities of 12 Gigawatts (GW) are planned to be established, as well as 500 Megawatts of storage.
New power plants are to be built, which can also be operated with climate-friendly hydrogen at a later stage; in addition, existing power plants are to be converted. Capacities in the amount of 5 Gigawatts are to be financed from the Climate and Transformation Fund of the federal government, and an additional 5 Gigawatts through the aforementioned levy.
- The new levy on the electricity price, announced by the Federal Ministry of Economics, is intended to fund the construction of new and the modernization of existing gas-fired power plants.
- The "Frankfurter Allgemeine Zeitung" reported from Berlin that the order of magnitude of the planned levy is a "small decimal place," which could result in additional costs for consumers.
- According to Verivox, taxes, fees, and levies currently account for approximately 31 percent of the electricity price, with 30 percent going towards grid fees and the remaining 39 percent towards electricity procurement and provider margins.
- The construction of new gas-fired power plants is part of the new power plant safety law, which was agreed upon by Chancellor Olaf Scholz, Economics Minister Robert Habeck, and Finance Minister Christian Lindner.
- Under this new law, 12 Gigawatts of new capacities and 500 Megawatts of storage are planned to be established, with new power plants capable of operating with climate-friendly hydrogen at a later stage.
- The German Federal Government plans to finance 5 Gigawatts of new capacity through the Climate and Transformation Fund, while an additional 5 Gigawatts will be funded through the aforementioned electricity price levy.
