Federal Budget Critique: Environment Minister Slams Sudden End of E-Car Subsidy
In a stark rebuke, Thuringia's Environment Minister Bernhard Stengele voiced his disapproval of some provisions in the proposed federal budget for next year. The most significant point of contention was the abrupt withdrawal of state subsidies for electric cars, which he labeled as unjust. Responding to a media query in Erfurt on Monday, Stengele, a Green politician, stated that such a decision would leave him feeling angry if he'd recently bought an electric vehicle (EV) based on the subsidy.
The incoming federal budget agreement from the traffic light coalition in Berlin sparked a surprising announcement by the Federal Ministry of Economics: applicants could submit forms for a state purchase premium for EVs until the previous Sunday. This premium ranged from 3,000 to 4,500 euros, depending on the price of the car.
In addition to the EV subsidy disputes, Stengele also criticized the intended abolition of tax breaks for agricultural diesel. He opined that such a move, if necessary, should be gradual and not subject the agricultural sector to a full-blown financial blow like the proposed one-time abolition plans.
Interesting Insights:
- Electric Vehicles as a Green Solution: The sudden withdrawal of EV subsidies may set back Germany's efforts to promote cleaner transportation and reduce carbon emissions.
- Subsidies for Agricultural Diesel: The proposed reinstatement of subsidies for agricultural diesel could be seen as a setback for climate policy objectives, as diesel engines are known for their higher emissions compared to electric vehicles.
Stengele, the Environment Minister of Thuringia, expressed his disagreement with the sudden withdrawal of EV subsidies in the 2024 federal budget. He pointed out that if he owned an EV based on the subsidy, he would feel disgruntled. Moreover, Stengele criticized the proposed phasing out of tax breaks for agricultural diesel, suggesting that the move should be slow and gradual to minimize the impact on agricultural companies.