Ultimatum to the ÖVP
New Government Row Over Drought Aid
The heat summit was actually supposed to bring swift relief to our farmers—but in reality, it’s now becoming a source of division within the coalition. The SPÖ and NEOS have issued an ultimatum to the ÖVP.
Kronen Zeitung als bevorzugte Google-Quelle hinzufügen The government had intended to present a final plan for drought aid by Friday—but it now appears that won’t happen. On Wednesday, Agriculture Minister Norbert Totschnig (ÖVP) presented a new draft within the government, but it infuriated his coalition partners.
The plan: Insured farmers will receive 400 million euros in compensation from the hail insurance program. In addition, the government intends to make 250 million euros available to farmers through three measures:
- Deferrals: Investment loans are to be deferred, with processing handled by the borrowers’ regular banks.
- Grants: Banks are also to provide interest subsidies for working capital loans, such as those for the purchase of animal feed.
- Social security contributions: 50 million euros will be made available for these measures. In addition, farmers are to be exempted from social security contributions in the fourth quarter—without having to submit an application—which is expected to provide 200 million euros in liquidity. This will be funded by drawing on the farmers’ own reserves.
Deadline set for Thursday
However: By evening, the talks were on the verge of breaking down, the “Krone” learned from negotiating circles. This is because, in exchange for the drought aid, the long-debated Climate Protection Act is to be agreed upon. Here, however, the ÖVP apparently wants to water down the 2040 climate target. Furthermore, to finance the drought aid, funds are to be drawn—of all places—from the climate protection budget.
The coalition partners have now given the ÖVP a deadline of Thursday at 10 a.m.: a new proposal or no drought aid!
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read the original article here.
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