According to a draft seen by Reuters, Germany will spend 83.3 billion euros to cap gas and electricity prices in 2023, equivalent to 42 percent of the program announced a month ago to protect Europe’s largest economy.

The data contain more detailed information on the allocation of a total of 200 billion euros, used from the stabilization fund of the economy to mitigate the impact of rising energy prices for the population and industry.

German Chancellor Olaf Scholz last Wednesday announced the establishment of a maximum price for natural gas from January 1 for large companies and from March 1 for households and small and medium-sized enterprises (SMEs).

This German “tariff shield” in the price of energy, announced by Scholz, is aimed at softening the impact of inflation and should come into effect in early 2023, according to the roadmap presented by the German government on Wednesday.

Caps on natural gas and electricity prices are a key part of a controversial 200 billion euro energy program announced in late September by Berlin.

According to draft V published by the German government, the maximum price for natural gas will be set from January 1 for large companies and from March 1 for households and SMEs.

In the field of electric power, this mechanism should become operational from January 1.

Source: news.ro