Germany debates temporary fuel tax cut as prices surge

The German Bundestag is holding its first debate on a proposed temporary reduction in fuel taxes on petrol and diesel.

The discussion in Germany’s parliament centres on a bill aimed at easing fuel costs for consumers, Tagesschau reports.

The initiative, put forward by the CDU/CSU bloc and the SPD, proposes cutting fuel excise duties by 17 cents per litre. The measure is intended to take effect from May 1 and remain in force until the end of June.

The government expects oil companies to pass the tax relief on to retail fuel prices. However, critics argue that there are no binding mechanisms to ensure this translates into lower prices at the pump.

The debate is taking place against the backdrop of rising fuel prices in Germany, fuelled by the ongoing global energy crisis. The country’s competition authority, the Bundeskartellamt, is already investigating the causes of the sharp increase and has requested explanations from oil companies.

By Vafa Guliyeva