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EU-wide/Brussels – Austria’s Climate and Energy Minister Leonore Gewessler (Greens) is once again urging an end to the German gas storage levy. She was confident that the levy would soon be abolished, but kept the legal route open, the minister said on Monday ahead of a meeting of EU energy ministers in Brussels. Germany had already announced an end to the levy at the turn of the year – but with the end of the so-called traffic light coalition in Berlin, the corresponding legislative amendment is in limbo.
The levy is making gas more expensive in Austria and has already caused costs amounting to 60 million euros, Gewessler said. “This is money that the industry pays, that needs gas. This is money that customers pay, who use gas to heat their homes,” said Gewessler. Social Democrats (SPD) and Greens in Germany would still support the abolition of the levy. After the end of the traffic light coalition, however, the conservative CDU is now needed. That’s why Gewessler, according to her own statements, has asked Chancellor Karl Nehammer and Foreign Minister Alexander Schallenberg (both ÖVP) to intervene accordingly with their sister party CDU.
The German gas storage levy is a charge of currently 2.50 euros per megawatt hour (MWh) of gas. It was introduced in 2022 as part of the energy crisis and is intended to cover the costs of gas storage in the country. However, to the chagrin of several neighboring countries – including Austria – it is also levied at border crossings, i.e., when gas flows from or through Germany to another country. The German government wants the latter to no longer happen from January 1, 2025 – but the corresponding law still has to pass the Bundestag in Berlin, which is uncertain after the end of the coalition.
If the gas storage levy continues to be levied at the borders, Gewessler intends to sue Germany before the European Court of Justice (ECJ). An end to the gas storage levy is of great importance for Austria with regard to reducing dependence on Russia for fossil fuels. Gas from alternative sources, such as from Norway or liquefied natural gas (LNG) from other countries, frequently comes to Austria via Germany. (16.12.2024)