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Germany plans cut in energy tax to lower petrol prices, Bild reports - Finance news and analysis from Global Banking & Finance Review
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Germany plans cut in energy tax to lower petrol prices, Bild reports

Published by Global Banking & Finance Review

Posted on September 18, 2026

1 min read

· Last updated: September 18, 2026

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Germany Plans Energy Tax Cut and Price Cap to Lower Petrol Costs: Bild Report

Germany's Government Considers Measures to Reduce Petrol Prices

Proposed Energy Tax Reduction

BERLIN, Sept 18 (Reuters) - Germany's government plans to cut the energy tax on gasoline by €0.14 ($0.16) per litre, newspaper Bild reported on Friday.

Potential Gasoline Price Cap

Contingency on Oil Price

In addition, Berlin is working on a gasoline price cap that would be contingent on the oil price and the government's plans are subject to talks with the heads of Germany's regional states, according to Bild.

Verification and Ongoing Discussions

Report Verification

Reuters could not immediately verify the report.

Funding and Negotiations

Open Issues

Two sources familiar with the talks said that discussions are still ongoing, adding that funding is still an open issue.

Additional Information

($1 = 0.8725 euros)

(Reporting by Andreas Rinke, writing by Thomas Seythal, editing by Ludwig Burger)

Key Takeaways

  • The energy tax cut of €0.14 per litre would build on a temporary May–June 2026 measure that lowered fuel taxes by approximately 14 cents per litre, saving around €1.6 billion overall (bundesfinanzministerium.de).
  • Currently, Germany’s standard energy tax stands at about €0.6545 per litre for petrol and €0.4704 per litre for diesel, constituting a significant portion of pump prices, alongside 19 % VAT (bmwk.de).
  • Since April 2026, the government also imposed rules limiting fuel price increases to once per day (at noon), strengthened regulatory oversight, and released emergency oil reserves to curb surging energy costs (destatis.de).

References

Frequently Asked Questions

What energy tax cut is Germany planning?
Germany plans to reduce the energy tax on gasoline by €0.14 ($0.16) per litre.
What other measures is Germany considering to lower petrol prices?
The government is considering a gasoline price cap contingent on oil prices.
Are the plans for a fuel tax cut finalized?
No, the plans are still under discussion and subject to talks with regional state leaders.
Is funding for the energy tax cut confirmed?
No, according to sources, funding remains an open issue and is not yet finalized.
Which publication first reported Germany's planned tax cut?
The news was first reported by German newspaper Bild.

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