German Economy Minister Robert Habeck said he hoped that state subsidies for households and businesses struggling with rising energy prices would be in place January at the latest.
“Relief on energy costs must begin in January at the latest, this is what we are aiming for,” Habeck said.
In a plan released earlier, the Economy Ministry laid the groundwork for a cap on electricity prices that would be implemented alongside a forthcoming gas price cap.
Habeck pointed out difficulties in financing the electricity price cap, calling it “an extremely complex task.”
“Normally, it would take two or three years to do this,” the minister said. “We are therefore implementing a political mandate, but it is fraught with risk.”
The government hoped to do so by levying windfall profits of electricity providers.
It had also considered siphoning profits retroactively, triggering major criticism from the energy sector.
Commenting on the gas price cap, Habeck said that gas providers maintained that it could not be implemented any earlier than March.
“I am sure that they are working hard in reviewing whether something is still possible,” Habeck said.
Chancellor Olaf Scholz wanted to explore an earlier start date, and had suggested January 1.
He intended to consult with energy suppliers, he said.