German ecotax development law proposed

Government issues legislation to slash industrial rebates to raise an extra €1.6bn revenues

The German government has proposed legislation to boost revenues from its energy tax programme by €1.6bn following last month's coalition deal between the SPD and Green parties. The main feature is big cuts in tax rebates for industrial and similar energy users, though householders are also being targeted (EED 24/10/02).

An already scheduled rise in existing ecotax rates due on 1 January 2003 will be unaffected by the proposed changes, which are likely to take effect sometime next year.

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