Further Additional Tax for Nuclear Power Extension?

Apart from introducing a nuclear fuel rod tax in the amount of EUR 2.3 billion per year, the government is reportedly planning to raise an additional tax in return for an extension of the operating times of the German nuclear power plants. All in all, the government wants the operators to pay between EUR 4 to 5 billion annually.

With both taxes the government intends to skim off profits resulting from the extension of the operating times. While the nuclear fuel elements tax shall help to consolidate the budget, the proceeds of the new tax shall be used to promote renewable energy. According to Süddeutsche Zeitung, voices within the coalition government argue that nuclear power had been privileged with regard to taxes compared with other forms of energy in the past. Hence, the nuclear fuel elements tax was a way to cut tax privileges.

The nuclear power industry claims if the both taxes would be introduced, the profits of an extension would be completely siphoned off. The government in turn accuses nuclear power operators of using incorrect figures.

According to government sources, work on a draft bill for a nuclear elements tax is in an advanced stage, Süddeutsche Zeitung says. It will allegedly be sent to the ministries concerned for consideration soon. Regarding the additional tax, Süddeutsche believes the most likely form will be a tax that is paid into a fund promoting renewable energy. Another option would be a contract governed by public law, which could contain all aspects of the nuclear power extension as well as the taxes. It was, however, unclear whether the government could bypass the Federal Council with a contract governed by public law. This is important as the government parties do not have a majority in the Federal Council.

Source: Süddeutsche Zeitung

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