Scholz defends 200 billion defense against EU criticism

Chancellor Olaf Scholz

Scholz announced this Thursday in the Bundestag that Ukraine would be supported for as long as necessary.

(Photo: IMAGO/Future Image)

Berlin Shortly before the EU summit, Chancellor Olaf Scholz once again defended the €200 billion protective shield to curb high energy prices against criticism from other European countries. The rescue package is designed for two and a half years in order to be prepared for the winter of 2023/24, said the SPD politician on Thursday in his government statement on the upcoming EU summit in front of the German Bundestag.

“Calculated over this period, the 200 billion euros correspond to around two percent of our gross domestic product.” That is in the magnitude of the packages that are also being put together elsewhere in Europe this year – in France, Italy or Spain.

The European Union has enough financial clout to face this crisis. So far, only a fifth of the financial pots created in the Corona crisis have been paid out. There is still more than 600 billion euros available here. Among other things, this could be used to finance the expansion of renewable energies in order to become less dependent on fossil energies.

The Corona Crisis Fund WSF is to be reactivated and provided with new funds for the defense shield. The Bundestag should decide on Friday. The funds can then be used until mid-2024 to finance the planned gas price brake, the planned electricity price brake and aid for ailing companies.

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However, it is still unclear how exactly the 200 billion will be used. Opposition leader Friedrich Merz criticized this in his reply to Scholz. The Union faction leader called on the government again to relieve people in Germany as quickly as possible and not just in the spring of next year. “You have to put on winter tires in October and not in the spring of next year,” said the CDU leader with a view to the coalition’s plans.

“He is wrong”

Scholz praised the recommendations of the gas commission set up by the government and announced that he intended to implement the proposals. According to this, the gas advance bills of consumers and companies are to be paid by the state in December and a gas price brake is to apply from March next year.

Scholz was convinced that Russia would not win the war of aggression against Ukraine. President Vladimir Putin will fail, he has actually already failed, said Scholz in his government statement.

“Putin will not achieve his war goals,” said Scholz. The Russian President is speculating on the weakness of the West and Ukraine. “But he’s wrong,” said the Chancellor. “We are not weak.” The sanctions against Russia would not be questioned. “We will remain on this course as long as Russia continues its brutal war of aggression.” The Chancellor stressed that Ukraine would be supported for as long as necessary.

Chancellor Olaf Scholz (SPD), Steffi Lemke (Bündnis 90/Die Grünen) and Friedrich Merz (CDU)

Opposition leader Friedrich Merz criticized the coalition’s plans: “You have to put on winter tires in October and not in the spring of next year”.

(Photo: dpa)

The AfD called for a fundamental about-face by the government. Group leader Tino Chrupalla warned that Ukraine should no longer be supplied with weapons. The war must be ended as soon as possible. He also reiterated his party’s demand to allow Russian gas supplies via the Nord Stream pipelines in the Baltic Sea.

The leader of the Left Party, Amira Mohamed Ali, said the war must end. This only works with diplomacy and not with arms deliveries. Moreover, the sanctions hurt Germany and Europe more than Russia. Domestically, she accused the government of acting too hesitantly and warned that people and companies should be given more help.

More: How long does the gas last? Forecasts for the winter

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