BERLIN (Reuters), Germany’s coalition parties have agreed to a package worth around 13 billion euros to assist households in coping with rising energy prices. This includes the elimination of a surcharge on electric bills that supports green power.

Germany has seen its energy prices rise in recent years, with fears about an escalated crisis between Russia and Ukraine pushing them further.

Germany’s Social Democrats (SPD), pro-business Free Democrats, and Ecologist Greens are the ruling parties. They said these steps are meant to aid households most in need.

Ricarda Lang, Greens coleader said that rising prices have been a major problem for many.

Parties agreed to eliminate the surcharge on renewable energy in July. This was six months sooner than originally planned. An average household would save around 150 euros per year. It is estimated to be worth approximately 6.6 billion euro, according to Christian Lindner, Finance Minister.

Lindner stated that other measures such as raising the income tax allowance and increasing an allowance to commuters, or granting aid to children from poorer families would also result in relief of approximately 7 billion Euros.

The latest data shows that German producer prices rose by 25% in January, their highest rate of growth since the beginning of modern records. This was despite spiralling energy costs. The Statistics Office reported that January’s energy prices rose by 66.7% year over year.

Lindner stated that no additional budget was necessary, while Social Democrat Saskia Emken claimed she believed the Upper House of Parliament will approve the package.