The German government has announced an emergency energy package in response to increasing fuel prices due to the US-Iran conflict (Euronews, 13/04/2026). The package will be financed with tax cuts for gasoline and diesel for two months, reducing taxes by about EUR17c/l (USD20c/l). Petrol prices have topped EUR2/l (USD2.4/l) for both diesel and petrol in some parts of Germany. The measure is expected to lead to savings of about EUR1.6bn (USD1.9bn) for gasoline and diesel users.
According to Clean Energy Wire (14/04/2026), the document outlining the measure plans to follow similar measures to those used during the energy crisis in 2022, including a windfall profit tax for fossil fuel companies to balance tax reductions on petrol and diesel fuel in the government’s budget, and an increased authority for the government’s competition watchdog tighten its antitrust law to combat price gouging.