The war in Iran is driving fuel prices in Germany sharply upwards. The federal government had therefore decided to introduce a fuel rebate, reducing the energy tax on all fuels by around 14 cents, which lowers fuel prices (including VAT) by around 17 cents and costs approximately 1.6 billion euros. The Monopolies Commission’s analysis shows that the fuel rebate reached consumers to a large extent, but not entirely, and that the pass-on varied from region to region. This once again points to a competition problem at the upstream market level. These competition problems should be further addressed by the Federal Cartel Office in proceedings under Section 32f(3) of the German Act against Restraints of Competition (GWB).
At a glance
The Monopolies Commission welcomes the announced phasing out of the fuel rebate and recommends that the structural investigation into the refining and wholesale sectors be continued.
- The fuel rebate was passed on to a large extent, but not in full. It is right not to continue the fuel rebate.
- The extent to which the discount has been passed on varies depending on the regional supply structure and once again points to potential competition problems at the refining and wholesale levels.
- A structural solution to these competition issues is appropriate. The Federal Cartel Office’s efforts in this regard, based on Section 32f of the Act against Restraints of Competition (GWB), should be continued.
