Abstract Since the war waged by the US and Israel against Iran and the resulting oil price shock, there has been increasing discussion in Germany about possible measures to reduce fuel prices. The Bundestag and Bundesrat approved a draft bill from the Federal Government that provides for the introduction of the Austrian regulatory model, which allows only one price increase per day. Furthermore, the bill includes a number of other measures, such as tightening anti-abuse supervision, which grants the Federal Cartel Office greater powers over oil companies. The regulations have been in force since 1 April 2026. Some, such as Federal Finance Minister Lars Klingbeil, believe these regulations do not go far enough. They point to countries such as Luxembourg, which regulates fuel prices through state-imposed price caps.
Breiderhoff et al. (Wed,) studied this question.