Germany to scrap gas storage levy to reduce energy costs

Published 06/08/2025, 11:14
Germany to scrap gas storage levy to reduce energy costs

Investing.com -- Germany’s cabinet approved a draft bill on Wednesday to eliminate a gas storage levy for all consumers, aiming to reduce energy costs across the country.

The levy, introduced in 2022 to help cover the high costs of replacing Russian gas after Moscow cut supplies, will be abolished to provide relief to German consumers. According to government estimates, this move will deliver approximately €3.4 billion ($3.93 billion) in savings to end customers.

An average four-person household in Germany is expected to save between €30 and €60 per year from this change.

The levy was initially intended to be shared more broadly, but pressure from neighboring countries led Berlin to impose the charge exclusively on German consumers.

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