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Economic Stimulus Package - Preventing levy increase

Source: IEA/IRENA Renewables Policies Database
Last updated: 18 November 2022

Germany's Renewable Energy Sources Act (EEG) introdcued a levy on consumer electricity prices to pay for energy transition investments. This surcharge was 6.756 ct/kWh in 2020. 

 

The German government, within its Corona economic stimulus package, will subsidise this surcharge in 2021 and 2022, to help ease the economic imapcts on households and businesses in the crisis. The surcharge was set to expand in 2021 to pay for additional solar generators, but the Federal Government decided to limit the EEG-levy to 6.5 ct/kWh in 2021.

 

This action does not increase total support to clean transtion investments, but does reduce the amount paid for by consumers and increases the govenrment's subsidy burden for EEG eligible resources.

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