News Digest Item
06 Jun 2017

“’Energy solidarity-surcharge’ should replace EEG-surcharge”


The Cologne Institute for Economic Research (IW) proposes replacing Germany’s renewables levy (EEG-surcharge), paid by power consumers with their electricity bill, with a surcharge on the income and corporate tax, reports Handelsblatt. In a paper, seen by Handelsblatt, the authors propose that such an ‘energy solidarity-surcharge’ could replace the existing solidarity tax that Germany introduced in 1991 as an additional tax to finance development in former East Germany and other state expenses. It is due to run out in 2019.

For background read the CLEW factsheet Germany ponders how to finance renewables expansion in the future.

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