Association of Cities: Electricity tax plans could "destroy" the heating transition

The Association of German Cities warns of negative consequences for the planned heating transition if the reduction in electricity tax is not implemented for everyone. "If the electricity tax reduction for private households does not materialize, this will not only be difficult in terms of social policy, but also in terms of energy policy. This could destroy the heating transition," said Burkhard Jung, President of the Association of German Cities, to the Funke Mediengruppe newspapers.

The Mayor of Leipzig reminded the audience that the municipal heating plan must be in place in a year's time. "Homeowners are now deciding whether to switch to a heat pump with electricity or continue to heat with gas. Sending out the signal 'electricity will remain expensive, gas will become cheaper' at this point in time will not help the heating transition," warned Jung. However, the SPD politician criticized that this is what the government is planning if it lowers the gas levy but not the electricity tax.

Municipal association proposes compromise

The leaders of the CDU/CSU and SPD had decided that there would be no reduction in the electricity tax for all companies and private households for the time being. The CDU, CSU and SPD had announced this in the coalition agreement - albeit subject to financing. The manufacturing industry, on the other hand, is to benefit from a reduction in electricity tax.

As a compromise solution, Jung proposed reducing the gas levy for industry and the electricity tax for private households. The President of the Association of German Cities also believes that the reduction in electricity tax is necessary because many citizens are already heavily burdened by rising rents and energy costs. They must now feel that something is changing in Germany.