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Guarantees Germans a "cost-effective energy source"

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Regions that produce a lot of wind power will have to pay lower grid fees in future.
Regions that produce a lot of wind power will have to pay lower grid fees in future.

Guarantees Germans a "cost-effective energy source"

Future prosperity in Eastern Germany is anticipated due to the shift towards climate neutrality, as per Federal Chancellor Scholz. After a sit-down with the minister-presidents of the eastern states, Scholz pledged a revamp of energy transmission fees.

Olaf Scholz guaranteed Germans reasonably priced energy. Post-meeting with the eastern state leaders, Scholz made it clear that Eastern Germany will benefit significantly from the shift towards a carbon-neutral economy. He pointed towards the expansion of semiconductor production, data centers, and electric vehicle manufacturing in Eastern Germany.

"We'll pull out all the stops to guarantee Germany has a secure, affordable energy supply that's advantageous for our citizens, but also profitable for jobs and businesses," said Scholz post-meeting in Wittenberg. With the successful expansion of renewable energy happening in Eastern Germany currently, this goal will be achieved.

The government is currently aiming to expand power grids to facilitate better electricity production and consumption. However, it's not just that, as regions rich in wind power would then face higher transmission fees. The Federal Network Agency will address this matter, as Scholz announced.

Regarding the traffic light coalition, Scholz emphasized that the coalition parties acknowledge their challenges. "We'll deliver on our tasks," said Scholz. He also touched upon the federal budget of the German government, currently under negotiation. The coalition parties SPD, Greens, and FDP have been at odds over the 2025 budget for weeks, according to Federal Finance Minister Christian Lindner, billions must be saved. Scholz didn't elaborate on his optimism during the press conference.

The states oppose hospital shutdowns

After the strong showing of the AfD in the European election at the beginning of June, where the right-populist party, excluding Berlin, was the dominant force in the eastern federal states, Scholz plans to focus on moving the country forward. It's crucial to show the people that progress is being made. However, he admitted that more work is required to establish equal income and wage relationships between East and West Germany.

The Eastern states' concerns regarding the federal government's planned hospital reform will be taken into account by the Federal Chancellor. "We'll sort out the remaining questions together, in Eastern Germany, structural reforms have already been made in the past," said the SPD politician. It's not about location, according to Scholz. "Instead, it's about making it possible to bring as much efficiency as possible into the healthcare system and we've made good cooperation arrangements."

The eastern states are demanding amendments to the federal government's hospital reform bill. "We have received a firm promise that the location issue will remain off the table," said Saxony-Anhalt's Minister-President Reiner Haseloff. The draft legislation would interfere significantly with the state's planning authority, particularly in sparsely populated areas. To ensure quality healthcare in the future, exceptions must be made and the possibility of continuing proven partnerships must be kept open.

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In thecontext of the shift towards climate neutrality, Scholz mentioned that Eastern Germany will benefit from lower energy prices due to the revamp of energy transmission fees. Despite the opposition from certain states, Scholz assured that the federal government will not consider location as a factor in hospital reforms, focusing instead on improving efficiency in the healthcare system.

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