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Germany's fuel prices soar as ministers clash over crisis solutions

Drivers and businesses groan under skyrocketing costs as politicians debate taxes, coal plants, and green energy. Who will blink first in this economic standoff?

The image shows a graph on a white background with text that reads "fuel prices in the United...
The image shows a graph on a white background with text that reads "fuel prices in the United States". The graph is composed of two lines, one in blue and one in green, that represent the prices of fuel in each state. The blue line is steadily increasing, indicating a decrease in fuel prices over time. The green line is slightly higher than the blue line, indicating an increase in prices. The text is written in a bold font and is centered on the graph.

Brandenburg's Economy Minister Martina Klement (CSU) Addresses Rising Fuel Prices

Germany's fuel prices soar as ministers clash over crisis solutions

Potsdam (dpa/bb) – Brandenburg's Economy Minister Martina Klement (CSU) has called for additional federal measures to provide swift relief from soaring fuel prices. While she described the reduction in energy taxes as "a good step in the right direction" during a parliamentary debate, she added: "But I won't hide the fact that I had hoped for more—especially for our businesses."

Prices for gasoline and diesel have surged amid the Iran conflict. However, over the past two weeks, both E10 super unleaded and diesel have become slightly cheaper, according to the ADAC. On Wednesday, the national average price for a liter of diesel stood at €2.13, while E10 super averaged €2.06.

Klement Skeptical of Relief Bonus

The CSU politician also expressed understanding for the government's reluctance to allocate further funds due to tight budgets. "We cannot indefinitely compensate for every financial burden with public money," Klement stated. "As policymakers, we simply won't be able to solve everything. And yes, we will have to endure a certain degree of crisis conditions."

She criticized the federal government's proposed tax-free €1,000 relief bonus for employees as "not particularly helpful." "This bonus only increases pressure on businesses—especially small and medium-sized enterprises, which are already heavily strained," Klement argued.

Minister Pushes for Accelerated Renewable Energy Expansion

Klement also demanded reliable framework conditions for the economy, urging the federal government to implement the industrial electricity price "quickly and without bureaucracy." She emphasized that further steps—such as reducing grid fees, lowering electricity costs, and expanding infrastructure—were equally crucial for a stable energy supply.

The minister strongly advocated for the continued expansion of renewable energy in Brandenburg. "We must drive transformation forward with consistency," she said, noting that dependence on fossil fuels made the economy vulnerable to crises like the current one.

Klement indirectly criticized Chancellor Friedrich Merz (CDU) for suggesting that coal-fired power plants might remain operational longer. "For me, reliable framework conditions also mean not constantly calling established decisions into question—including the coal phaseout."

SPD lawmaker Melanie Balzer called for stricter rules and enhanced oversight of pricing mechanisms. "State aid must not end up lining the pockets of oil companies through windfall profits," she warned.

AfD and BSW Demand Greater Relief

The opposition is pushing for far more substantial relief measures. The AfD faction urged the state government to advocate for lower energy taxes on fuels, the abolition of the CO₂ price, and a temporary reduction in VAT to 7%.

"Energy price crises are not primarily the result of wars in Ukraine and Iran—they are the consequence of your transformation policies, of the misguided sanctions pushed by the SPD and CDU," said AfD parliamentary group leader Hans-Christoph Berndt. The party also supports extending nuclear power.

Meanwhile, the BSW faction demanded price caps on fuels, heating oil, and other energy sources, as well as "effective market supervision."

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