Germany Weighs Additional Aid to Offset Consumers’ Soaring Energy Bills

(Bloomberg) -- German Chancellor Olaf Scholz's government will consider further aid to consumers hit by rising energy costs after the cabinet on Wednesday approved a heating subsidy for low-income households. 

“We are closely monitoring the current situation,” government spokesman Steffen Hebestreit told reporters in Berlin. The chancellor is weighing further measures to protect consumers against rising energy prices, he said, without elaborating. 

The Economy Ministry said Germany's gas supply is secure as a report showed reserves below a critical level and fuel prices rising to new highs this week. That's added pressure to Scholz's coalition, which is discussing whether to end fixed feed-in tariffs, a surcharge to promote renewables that's weighed on consumers, earlier than 2023. 

The heating subsidy will benefit 1.6 million consumers in 710,000 households at a cost of 190 million euros ($215 million), according to the Housing Ministry. 

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