Federal Economics Minister Habeck has defended the controversial removal of agricultural diesel subsidies. Cabinet colleague Lindner, on the other hand, was open to reversing the step. The farmers’ association announced protests.
Federal Economics Minister Robert Habeck (Greens) defended the planned abolition of tax breaks for agricultural diesel. At the same time, he defended Agriculture Minister Cem Özdemir (Greens) against criticism.
“The Federal Chancellor, the Finance Minister and I had to make the decision on agricultural diesel subsidies in the spirit of an overall solution,” Habeck told the dpa news agency. “It wasn’t easy and I also know about the hardships. The Minister of Agriculture warned against canceling the agricultural diesel subsidy. Cem Özdemir knows the situation of the farmers and the burden and has made that very clear.”
Habeck further said that he had also discussed these arguments with his government partners. “But as a result of the Federal Constitutional Court’s ruling, we have to make do with less money and limit spending. And the three of us made this decision as part of the overall package.”
CDU criticizes Özdemir
On Wednesday, after long negotiations with Chancellor Olaf Scholz (SPD) and Finance Minister Christian Lindner (FDP), the Economics Minister agreed on how billions in holes in the federal budget for 2024 and in the climate and transformation fund should be plugged following a ruling by the Federal Constitutional Court.
The CDU deputy general secretary Christina Stumpp sharply criticized the abolition of tax breaks for agricultural diesel. Özdemir is abandoning rural agriculture and rural areas and is committing a “serious breach of his word”.
Lindner open to reversing the planned deletion
Lindner appeared open to reversing the planned abolition of the agricultural diesel subsidy and replacing it with other cuts. “To be clear: I am not a fan of the burden on farms,” Lindner told the Germany editorial network.
The issue will therefore have to be discussed in the government and coalition. “I am open to alternatives,” emphasized the FDP chairman.
Farmers’ association calls for protest
The removal of the agricultural diesel subsidy, agreed as part of the traffic light coalition’s budget compromise, is causing great dissatisfaction among those affected. The German Farmers’ Association (DBV) is calling for a rally in Berlin on Monday. Under the motto “Too much is too much” the aim is to make clear the outrage over the end to regulations on agricultural diesel and the vehicle tax exemption for agriculture and forestry.
DBV President Joachim Rukwied called on the traffic light coalition to withdraw the plans. Otherwise, agriculture in Germany would have no future.
Federal Agriculture Minister Özdemir joined the criticism and warned that there could be a farm die-off of unprecedented proportions in Germany because of the planned cuts in agricultural subsidies. “I share the concern,” said Özdemir in the ARD.
Lindner now said: “Agriculture and forestry are close to my heart.” There are usually family businesses there that take a high entrepreneurial risk. “If you can avoid putting more strain on them, then I’m happy to support that,” emphasized the Finance Minister.