Habeck consistently rejects CDU criticism of the budget deal on the CO2 price

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The agreement in the budget dispute took a lot out of the traffic light coalition. Nevertheless, citizens will have to save money. Robert Habeck still supports the deal.

Berlin – The Traffic Light Coalition has had tough weeks, which also go to the Vice-Chancellor and Robert Habeck (Greens) have not passed by without a trace. Although an agreement was reached in the budget dispute, he believes the country faces difficult times. In an interview with t online Habeck was nevertheless cautiously optimistic.

Removal of the tax break for agricultural diesel, elimination of the environmental bonus for electric cars and an increased CO₂ price: After the Federal Constitutional Court’s ruling on the debt brake, the 2024 budget appears to be primarily a savings program. However, the Federal Minister of Economics sees things differently. “The central projects are coming,” says Habeck. Also a social one Compensation for the rising CO₂ price is included in the budget. “We have abolished the EEG levy, so next year 85 percent of the income from the CO₂ price will flow directly back to citizens and the economy. This is climate money via the price of electricity.”

Rising CO₂ prices are the Union’s fault – but “it’s true that everything is getting more expensive”

Habeck attributes a large part of the dissatisfaction with this additional burden to “a certain forgetfulness”. After all, the traffic lights only return to the plans of the Union-led grand coalition. Nevertheless, Habeck understands that people complain about financial hardships. “It’s true that everything is becoming more expensive. “The high inflation has hit many people hard.” This means that money is now missing that “you would otherwise have”. The coalition worked against it and was partially successful – inflation in November was 3.2 percent, as low as it was last in June 2021. Nevertheless, the state can compensate for the loss of prosperity caused by high gas prices and the Ukraine war not easy to balance.

Robert Habeck is satisfied with the agreement in the budget dispute – despite the austerity measures. © IMAGO/Emmanuele Contini

Since they don’t want to incur new debts or raise taxes, certain things would have to be eliminated. “It’s not easy to decide.” Despite the adverse circumstances, “a viable solution was developed”. This demands “a lot from the country and its citizens”, but enables important investments, compliance with significant relief and maintaining social balance. Although it is easy to criticize like the Union, it is not very constructive. After all, the Union in the Bundestag no longer even seems “interested in a non-partisan consensus”.

Despite an agreement on the budget: According to Habeck, more investments would actually be necessary

On Wednesday, after long negotiations with Chancellor Olaf Scholz (SPD) and Finance Minister Christian Lindner (FDP), Habeck 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. However, measures such as the increase in the CO₂ price and the planned removal of tax breaks for agricultural diesel are met with massive protest, as the dpa news agency reported.

On Thursday, many business and farmers’ associations expressed their displeasure. The criticism was also fueled by the Bavarian Economics Minister Hubert Aiwanger (Free Voters). “Traffic light, enough is enough,” Söder’s deputy prime minister wrote on the X platform, formerly Twitter.

Similar sounds also came from parts of the Union. In a position paper that IPPEN.MEDIA the Union parliamentary group describes the traffic light budget plans as a “slap in the face to our farmers”. The CDU and CSU in the Bundestag criticized the abolition of the agricultural diesel rebate and the vehicle tax for agricultural vehicles.

Habeck is also dissatisfied in some points

However, Vice Chancellor Habeck is apparently not completely satisfied with the compromise. “If you ask me as Economics Minister, I have to say that something different is actually needed economically in this economic phase – namely significantly more investment. Our country has structural problems, from education to road renovation. We should do more here, that would also help the economy and the economy,” he agreed t online. The global environment is full of risks, only “investments create growth, jobs and prospects”. It must be realized that other countries are investing enormous sums in order to build up or renew “future industries with high levels of funding”.

The question of the debt brake is therefore “not about a desire for more debt, but rather investments in our future and how we can finance it.” If you want to secure prosperity in this time of upheaval, you have to “at least once again “think about whether there aren’t paths that we can walk together.” (tpn)

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