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EU PolicyWatch

Database of national-level policy measures

Eurofound's EU PolicyWatch collates information on the responses of government and social partners to the COVID-19 crisis, the war in Ukraine, rising inflation, as well as gathering examples of company practices aimed at mitigating the social and economic impacts.

Factsheet for measure DE-2022-36/3051 – measures in Germany

Energy grant

Energiekostenzuschuss

Country Germany , applies nationwide
Time period Temporary, 01 September 2022 – 31 December 2023
Context War in Ukraine, Cost of Living Crisis
Type Legislations or other statutory regulations
Category Promoting the economic, labour market and social recovery into a green future
– Support for energy bills
Author Sandra Vogel (IW)
Measure added 14 February 2023 (updated 20 March 2023)

Background information

Due to the rising inflation resulting from the sanctions against Russia that invaded the Ukraine, the federal government has issued a total of three relief packages during 2022. The first two relief packages stem from the first half of 2022.The last relief package (adopted by the federal government in September 2022 and by the German parliament in December 2022) is the biggest one in terms of financial aid. However, all three packages are worth €95 billion. In addition, the federal government created a fund worth €200 billion to cushion the rising energy prices. In this context, the federal government issued many energy-related measures. Amongst other things, the federal government also decided to pay a one-off payment to employees, students and pensioners to help them cover rising energy costs.

Content of measure

The federal government decided to pay a one-off payment to all employees, pensioners and students in 2022. Employees working in a job liable to social security contributions received the grant worth €300 automatically with their September 2022 pay checks. Pensioners received the same grant in December 2022. Students that were enrolled in a university or school in December 2022 will also receive the payment. However, their payment is with €200 lower than the one for employees and pensioners and will be paid out in 2023. The grant is meant to help the mentioned target groups with covering their rising energy costs.

Use of measure

No data yet.

Target groups

Workers Businesses Citizens
Employees in standard employment
Does not apply to businesses Pensioners
Students

Actors and funding

Actors Funding
National government
Company / Companies
Social insurance
National funds

Social partners

Social partners' role in designing the measure and form of involvement:

Trade unions Employers' organisations
Role Consulted Consulted
Form Direct consultation outside a formal body Direct consultation outside a formal body

Social partners' role in the implementation, monitoring and assessment phase:

  • No involvement
  • Main level of involvement: Peak or cross-sectoral level

Involvement

Social partners contributed their comments and position papers to the parliamentary hearings held on the measure in autumn 2022.

Views and reactions

The Confederation of German Trade Unions (DGB) welcomed the measure as such. However, it also stated apart from this single measure more had to be done to help pensioners and other vulnerable groups with covering the rising costs. For example, the DGB called for increasing the pension amounts.

Sources

Citation

Eurofound (2023), Energy grant, measure DE-2022-36/3051 (measures in Germany), EU PolicyWatch, Dublin, https://static.eurofound.europa.eu/covid19db/cases/DE-2022-36_3051.html

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Disclaimer: This information has not been subject to the full Eurofound evaluation, editorial and publication process.