Press release -

Oil Companies Passing On 85 to 100 Percent of Fuel Discount in Germany

The fuel discount for diesel and gasoline in Germany has essentially been passed on to customers, according to calculations by the ifo Institute. “In the case of diesel, filling stations passed on 100 percent of the discount, so the full 17-cent tax cut per liter. For premium gasoline, it was 29 to 30 cents of the 35-cent tax cut, or 85 percent,” says Florian Neumeier of the ifo Institute, who prepared the calculations together with Daniel Stöhlker and ifo President Clemens Fuest. 

Prices in Germany were compared with developments in France before and after June 1, 2022. The researchers assumed that, after June 1, gasoline prices in Germany would have followed the same trend as French gasoline prices without the introduction of the fuel discount. Prices have also risen in France since then, but taxes there were not changed on June 1.

“Despite its being passed on to consumers, the fuel discount does not make sense,” says ifo President Clemens Fuest. “It benefits people with higher incomes and greater spending on gasoline, not people on low incomes. Moreover, it sets the wrong incentives: it doesn’t encourage people to use less gasoline and diesel. For environmental reasons and to reduce dependence on Russia, the exact opposite would be necessary.” 

It is also important to note, the economists add, that price developments could change over the coming weeks. It is an open question whether the tax cut will continue to be passed on to consumers. 

Infografik, Dieselpreise in Deutschland und Frankreich, Tagesdurchschnittswerte
Infografik, Dieselpreise in Deutschland und Frankreich, Tagesdurchschnittswerte
Infografik, Preise für Super E5 in Deutschland und Frankreich, Tagesdurchschnittswerte
Infografik, Preise für Super E5 in Deutschland und Frankreich, Tagesdurchschnittswerte
Infografik, Preise für Super E10 in Deutschland und Frankreich, Tagesdurchschnittswerte
Infografik, Preise für Super E10 in Deutschland und Frankreich, Tagesdurchschnittswerte
Preiseffekte des Tankrabatts, Differenz-in-differenzen-Schätzung
Preiseffekte des Tankrabatts, Differenz-in-differenzen-Schätzung
Contact
CV Foto Dr. Florian Neumeier

Dr. Florian Neumeier

Head of the Research Group Taxation and Fiscal Policy
Tel
+49(0)89/9224-1425
Fax
+49(0)89/985369
Mail
Harald Schultz

Harald Schultz

Press Officer
Tel
+49(0)89/9224-1218
Fax
+49(0)89/907795-1218
Mail