Electricity tax cuts, nuclear power plants and no further social reforms: FDP sets out with a position paper on economic and energy policy
Electricity tax cuts, nuclear power plants, no further social reforms: The FDP parliamentary group has drawn a line between itself and its coalition partners with a position paper on economic and energy policy. In the paper passed on Friday at the end of its meeting in Dresden, the parliamentary group puts forward demands that are in clear contradiction to the positions of the SPD and the Greens - such as the demand for a reduction in electricity taxes, for the dismantling of the last nuclear power plants to be stopped and for a general waiver of further social reforms until the next federal election. The coalition must “focus its full attention on strengthening growth and competition,” said parliamentary group leader Christian Dürr. “A comprehensive reform agenda is needed.” …

Electricity tax cuts, nuclear power plants and no further social reforms: FDP sets out with a position paper on economic and energy policy
Electricity tax cuts, nuclear power plants, no further social reforms: The FDP parliamentary group has drawn a line between itself and its coalition partners with a position paper on economic and energy policy. In the paper passed on Friday at the end of its meeting in Dresden, the parliamentary group puts forward demands that are in clear contradiction to the positions of the SPD and the Greens - such as the demand for a reduction in electricity taxes, for the dismantling of the last nuclear power plants to be stopped and for a general waiver of further social reforms until the next federal election.
The coalition must “focus its full attention on strengthening growth and competition,” said parliamentary group leader Christian Dürr. “A comprehensive reform agenda is needed.” The federal government's previous decisions - such as the Growth Opportunities Act - are only "first important steps to advance our economy".
The FDP parliamentary group has adopted a position paper on economic and energy policy that clearly distinguishes itself from the positions of the coalition partners SPD and Greens. The paper calls, among other things, for a reduction in electricity taxes, a halt to the dismantling of the last nuclear power plants and a general waiver of further social reforms until the next federal election. Parliamentary group leader Christian Dürr emphasizes the need for a comprehensive reform agenda and describes the federal government's previous decisions as the first important steps to strengthen growth and competition.
According to a report by www.tagesspiegel.de, the FDP parliamentary group is calling for a general reduction in electricity taxes in order to relieve companies of the high energy prices. This measure would benefit the entire economy, in contrast to an industrial electricity price that would benefit only a few. The proposed reduction in electricity tax by around two cents per kilowatt hour could be financed from funds from the Climate and Transformation Fund.
The FDP parliamentary group is also in favor of a “subsidy brake”, which should apply to both subsidies and social benefits. This is necessary given the tight budget situation. The FDP rejects a general stop to social reform because agreements on stock pensions have already been made. However, she calls for a move away from retirement at 63 and instead suggests making retirement more flexible based on the Swedish model.
The FDP parliamentary group's demands are met with opposition from the SPD and the Greens, who want to remain loyal to the previous agreements on stock pensions and the pension package. In addition, the FDP's demand for a temporary waiver of the dismantling of nuclear power plants is politically taboo for the SPD and the Greens.
The FDP parliamentary group's proposed measures could have a significant impact on the market and the financial sector. A reduction in electricity tax would reduce energy costs for companies and thus give them more financial flexibility. This could have a positive impact on companies' competitiveness and economic growth. However, these savings could also lead to reduced revenue for the state, which would have to be compensated for elsewhere.
The demand for a “subsidy brake” and a waiver of further social reforms could lead to a reduction in government spending, which could contribute to stabilizing public finances in the long term. However, the impact on those dependent on these social benefits would need to be carefully considered.
The FDP's proposal to stop the dismantling of nuclear power plants for the time being would lead to a longer service life of these power plants. This could lead to lower electricity prices in the short term, but the long-term effects on the environment and the safety of nuclear power plants would also have to be taken into account.
Overall, the FDP parliamentary group's demands are controversial and would mean significant changes in energy and economic policy. It remains to be seen whether these demands will be implemented and what impact this will have on the market and the financial sector.
Read the source article at www.tagesspiegel.de