EXCLUSIVE-Higher gas costs to be divvied among German consumers under govt proposal

Credit: REUTERS/Hannibal Hanschke

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BERLIN, July 1 (Reuters) - The German government is seeking the ability to create a levy that would be paid by all gas consumers as a way to help suppliers facing rapidly rising import prices, according to a proposal seen by Reuters on Friday.

If granted this power by the parliament, the government could introduce the levy instead of a general price adjustment clause that would allow suppliers themselves to pass increases on to customers, who would likely be disproportionately affected.

The legislation is set to be passed by the parliament on July 8, said sources in the industry and German government.

The additional costs for replacing gas from Russia will be divvied among all gas customers via Trading Hub Europe, an organization of gas network operators.

The levy will make gas more expensive for everyone instead of the burden falling only on certain households based on who their gas supplier is.

(Reporting by Markus Wacket, Writing by Miranda Murray, Editing by Rachel More and Maria Sheahan)


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