Headlines
Germany to scrap gas storage levy
Published by Global Banking & Finance Review®
Posted on August 6, 2025
1 min readLast updated: January 22, 2026
Global Banking & Finance Review®
Company
Published by Global Banking & Finance Review®
Posted on August 6, 2025
1 min readLast updated: January 22, 2026
Germany plans to abolish the gas storage levy, providing 3.4 billion euros in relief to consumers and reducing household energy costs.
BERLIN (Reuters) -Germany's cabinet approved a draft bill on Wednesday to scrap a gas storage levy for all consumers in an effort to bring down energy costs.
After decades of relying on cheap Russian gas, Europe's largest economy is grappling with high energy costs which are straining its export-driven, energy-intensive industries such as chemicals and metals production.
The levy was introduced in 2022 to help cover the high expense of replacing Russian gas after Moscow cut supplies.
While it was originally meant to be shared more broadly, pressure from Germany's neighbours led Berlin to impose the charge solely on German consumers.
According to government estimates, abolishing the levy will provide roughly 3.4 billion euros ($3.93 billion)in relief to end customers, saving an average four-person household between 30 euros and 60 euros per year.
($1 = 0.8655 euros)
(Reporting by Riham Alkousaa and Holger Hansen, Editing by Madeline Chambers)
The gas storage levy was introduced in 2022 to help cover the high expense of replacing Russian gas after Moscow cut supplies.
Abolishing the levy is estimated to provide roughly 3.4 billion euros in relief to end customers, saving an average four-person household between 30 euros and 60 euros.
Pressure from Germany's neighbours led Berlin to impose the charge solely on German consumers, despite the levy being originally intended to be shared more broadly.
Germany is grappling with high energy costs, which are straining its export-driven, energy-intensive industries such as chemicals and metals.
The German cabinet approved the draft bill to scrap the gas storage levy on Wednesday.
Explore more articles in the Headlines category
