(de-news.net) – Despite the ongoing crisis in Iran, Federal Minister for Economic Affairs, Katherina Reiche (CDU), has indicated that Germany does not currently face a shortage of oil or gas. She noted that, although market prices have exhibited pronounced fluctuations, the underlying supply volumes remain sufficient to meet national demand. Reiche emphasized that the federal government possesses a range of instruments capable of addressing potential disruptions, but that, at present, no intervention has been deemed necessary. In a related context, Saxony-Anhalt’s Minister-President Sven Schulze (CDU) acknowledged the prevailing uncertainty regarding measures such as a potential new fuel rebate and underscored the importance of developing structured mechanisms to alleviate the financial burden on households and businesses. He further suggested that the trajectory of energy prices would likely dominate discussions at the forthcoming minister-president conference, highlighting the centrality of energy costs in broader economic governance.
Since the outbreak of the crisis, fuel prices in Germany have risen sharply, reflecting both immediate market reactions and broader geopolitical concerns. Diesel recently exceeded two euros per liter on average nationwide, according to the ADAC, while Super E10 rose to 1.897 euros per liter—an increase of 12.1 cents from the previous week—and diesel reached 1.917 euros per liter, up 17.7 cents. Notably, these levels follow a period in which fuel prices had already reached record highs prior to the conflict. The escalation, which includes the temporary closure of the Strait of Hormuz—a key artery for global oil transport—has exerted additional upward pressure on energy markets, reinforcing the volatility of supply-dependent commodity pricing. Observations early on Wednesday indicated that a number of fuel stations were charging more than two euros per liter for both diesel and E10, illustrating the immediacy of the market response.
Cartel Office maintains vigilant oversight of retail and wholesale fuel prices
In response to these developments, parliamentary leaders from the governing coalition agreed to establish a dedicated working group tasked with monitoring the rising costs of gasoline and energy, maintaining engagement with federal authorities, and systematically evaluating potential policy measures. Preparations for this initiative are expected to encompass a wide range of possible scenarios, including the deployment of strategic reserves as a mechanism to mitigate abrupt price spikes. Complementing these efforts, the Federal Cartel Office has stated that it will continue to conduct detailed and frequent monitoring of price differentials across retail, refinery, and wholesale levels relative to crude oil, ensuring transparency and identifying any irregularities in market behavior.
Gabriel Felbermayr, recently appointed to the German Council of Economic Experts, has indicated that upper price limits at petrol pumps could potentially serve as a tool to moderate inflationary pressures, provided that such measures are implemented in coordination with international strategic reserve releases. He warned that a prolonged conflict in the Middle East or an extended closure of the Strait of Hormuz could precipitate a significant energy price crisis. Felbermayr noted that a doubling of oil prices could undermine the ongoing, albeit fragile, economic recovery in Germany, potentially reducing national growth by approximately 0.4 percentage points. Felbermayr’s appointment to the Council extends through February 28, 2031. Since 2021, he has served as director of the Austrian Institute of Economic Research and holds a professorship at the Vienna University of Economics and Business. Prior to this, he led the Kiel Institute for the World Economy. His research emphasizes international trade theory and policy, labor market dynamics, and the processes of European economic integration.
Audio: TTSFree
