Ready next week? – Housing costs package: the government is testing its patience

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The government continues to play with the anti-inflation package that has been announced. In addition to already known plans such as postponing the CO2 price to October, the increase in the climate bonus and the ban on gas heating in new buildings, there was little news on Wednesday after the Council of Ministers. Negotiations are underway to end cold progression and an increase in social benefits, and the package should be ready for a decision next week. Meanwhile, the opposition is losing patience.

After the Council of Ministers, Climate Minister Leonore Gewessler (Greens) confirmed that from the perspective of the Greens, the postponement of the CO2 price, the increase in the climate bonus to 250 euros for everyone and the ban on gas heating in new buildings will be on the table next week. National Council to be decided. She wanted nothing to do with a fuel price brake. She points out that the government has only recently relieved commuters by raising the commuter allowance or the commuter euro.

Cold progression “too complex”
The government is trying to have the measures take effect as soon as possible. According to reports, one-off increases in benefits such as social assistance, child benefits and unemployment benefits are being negotiated first. An annual valorisation of those funds that are not automatically collected each year will not be possible before the summer, it was said in the margins of the Council of Ministers. Getting rid of cold progression would also be “too complex” to get that on track next week.

New gas heaters already banned next year?
The ban on installing gas heaters in new buildings from 2023 could be decided as early as next week, this is regulated in the Sustainable Heat Act (EWG). Under this directive, old oil and gas heating systems will be phased out from 2025, starting with the oldest models installed before 1980. From 2035, a ban on the use of fuel oil boilers will apply and from 2040 this ban will also apply to gas heating systems.

NEOS: ‘No more letters of intent’
The opposition called for action. NEOS boss Beate Meinl-Reisinger accused the government of only producing headlines and announcements for the fall rather than real solutions. She called for the immediate abolition of cold progression, a reduction in non-wage labor costs and targeted relief of low income earners. “No more letters of intent,” Meinl-Reisinger told the government.

SPÖ: Remove VAT, increase pensions
The SPÖ also accused the government of inaction. Value-added taxes on food, energy and fuel should be temporarily abolished, taxes on labor lowered and pensions and unemployment benefits increased, according to the Red Ideas. In addition, the SPÖ is in favor of withdrawing the rent increase and freezing benchmark and category rents until 2025, as Federal Director Christian Deutsch confirmed.

FPÖ: Government in “deep sleep mode”
Already on Tuesday, the FPÖ described a “ZiB 2” interview by Social Affairs Minister Johannes Rauch (Greens) as a “slap in the face to those people who have to fight every day for survival given the record prices for food, energy and fuel. ” Rauch spoke of measures only in the autumn – FPÖ leader Herbert Kickl found the government in “deep sleep mode” when it came to inflation.

Source: Krone

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