Germany slashes fuel taxes amid Middle East energy crisis

Germany is set to temporarily reduce fuel taxes as part of a broader effort to cushion the impact of surging energy prices linked to the crisis in the Middle East.

The Bundestag has approved a package of measures aimed at mitigating the effects of a sharp increase in fuel costs, Tagesschau reports. 

The initiative was subsequently endorsed by the Bundesrat.

Under the plan, taxes on diesel and gasoline will be reduced by approximately 17 euro cents per litre from May 1 through the end of June.

The measures are expected to cost the federal budget around €1.6 billion.

The move follows earlier steps taken in mid-April, when the government introduced temporary tax relief for the transport sector, along with additional compensation for workers whose jobs require frequent car use.

By Vafa Guliyeva