The turquoise government is currently working on a brake on the price of electricity. This works in such a way that a certain quota is made available to each family at a certain price. The market price is paid for consumption in addition. This model has the advantage of including savings incentives, Finance Minister Magnus Brunner (ÖVP) said in an interview with the APA.
He hopes the law can be passed in parliament in September so that it takes effect in the fall. Brunner rejects reducing VAT on certain products, such as bread and butter, because all experts advise against it. In Germany, this is also rejected by the Social Democrats. “Experts tell us that our measures are more effective.” These include the special family allowance of 180 euros, the increased family allowance (2,000 euros) and the increased family allowance (550 euros), the school fee of 100 euros per child in September and the climate and anti-inflation premium in the autumn. , which is payable at €500 per adult and €250 per child.
When asked about the price of CO2, which is expected to come along with the climate bonus in October, Brunner simply said it was part of the tax reform. In the ÖVP there are repeated requests for adjournment or even an indefinite suspension. For the Greens, however, this is absolutely impossible. Brunner recognized this when describing the price of CO2 as part of tax reform. However, he added that there should be no ban on thinking and that there could be more relief through the climate bonus, curbing the price of electricity or offsetting the price of electricity for industry.
Brunner commented cautiously on union demands for full inflation compensation in the coming fall salary rounds. Wage negotiations are the responsibility of the social partners. The government can only send signals, and that’s what they did with tax-free prizes and the planned abolition of cold progressions. Care must be taken not to enter a price-earnings spiral.
As the summer fall debate was rejected by Brunner speculation that he could replace Karl Nahammer as head and chancellor of the ÖVP. “We have a very good chancellor and I am very happy to be the finance minister at his side.” He also expressed his belief that the government would hold until the end of the 2024 legislature. There are differing opinions on some topics, but this is normal. “We still have a lot to do.”