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Cabinet and energy companies agree on price ceiling, bill already down in November | NOW & More Latest News Here



kabinet en energiebedrijven eens over prijsplafond rekening in november al omlaag


The government and energy companies have agreed on a price ceiling for gas and electricity for this year. Due to the emergency measure, the energy bill will already be reduced in November and that will last until 2023. Details still have to be worked out. Insiders report this to the news agency on Monday evening AP.

The measure will apply in full from 1 January, but the energy bill will already be reduced in November.

The costs are estimated at 6 to 10 billion euros. This is partly paid for by canceling an earlier tax credit on the energy bill for next year.

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There will also be an emergency fund for people who can no longer pay their energy bills. The government has earmarked 50 million euros for this. Energy companies also pay for this.

The further details are expected to be announced on Tuesday on Prinsjesdag.

Pressure from outside to do something this year grew

For a long time, the message was that no major interventions could be done before this year to dampen the sky-high energy costs. This was mainly due to difficulties in implementing those measures. The Tax and Customs Administration in particular would not be prepared for this, was the reading by, among others, Minister Sigrid Kaag (Finance) and Prime Minister Mark Rutte.

At the end of August, the cabinet and coalition parties VVD, D66, CDA and ChristenUnie agreed on a “comprehensive” purchasing power package.

The measures, together amounting to about 15 billion euros, will only be introduced next year, while more and more households are experiencing financial difficulties because their energy contract is expiring. As a result, some people have to pay three or four times as much for gas and light.

The cabinet and the coalition were silent for a long time, but the pressure was increasing to come up with something this year. Finally, these parties held feverish consultations last weekend and now the bullet is finally through the church.

Plan GroenLinks and PvdA seems like a blueprint

There is no question of full compensation. Until an average consumption, prices are fixed at the level of January this year. That is before Russia’s war with Ukraine.

That price is still high compared to previous years, but a lot lower than now. The current price applies above the average consumption. This keeps the incentive to save energy, an important climate goal of the cabinet.

The plan is very similar to the proposal that GroenLinks and PvdA came up with last summer. Party leaders Jesse Klaver (GroenLinks) and Attje Kuiken (PvdA) were invited by Rutte on Monday afternoon to explain their idea.

The left-wing opposition parties find it incomprehensible that the cabinet has waited so long to intervene in order to provide people with extra financial assistance this year. That indignation is widespread across the opposition.

The cabinet and the coalition have always said that almost 7 billion euros extra was spent last year and that a sizeable package will follow for next year.

Cabinet and energy companies agree on price ceiling, bill already down in November | NOW
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Cabinet and energy companies agree on price ceiling, bill already down in November | NOW
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The Article Is In Dutch🡽