Germany's Economics Minister Katherina Reiche is considering limiting fuel price increases at gas stations to once per day, following Austria's example. The rule has been in place there for years to curb fluctuations. Viennese economists highlight benefits in transparency but warn of limited impact.
Rising diesel and gasoline prices are prompting Germany's Economics Minister Katherina Reiche (CDU) to consider a rule limiting increases at gas stations to once per day. She is drawing on Austria's model, where prices have been allowed to rise only at noon for years, with subsequent changes only downward.
Sebastian Kummer, head of the Institute for Transport Economics and Logistics at the Vienna University of Economics and Business, praises the increased price transparency for consumers. "Anyone heading to a gas station at 3 p.m. knows prices won't go up anymore," he says. The regulation can slightly dampen fluctuations but is "no gamechanger." It cannot prevent sharp hikes of 20 or 30 cents, as seen currently in Germany.
For genuine price reductions, Kummer advocates lowering the mineral oil tax but doubts oil companies would pass it on. The ADAC has criticized the plans, warning that firms might preemptively raise prices more aggressively. Taxes and levies in Austria are overall lower than in Germany.
Sebastian Koch from the Institute for Advanced Studies (IHS) in Vienna shares the reservations. "I don't believe it's made a big splash," he states. Clarity for consumers improves, but station operators might hike more sharply at noon. "Every measure has side effects," Koch emphasizes. High prices signal market scarcity, and subsidies would distort this signal.
As Germany debates, Austria is preparing an expansion: Economics Minister Wolfgang Hattmannsdorfer (ÖVP) aims to limit increases to three times per week.
