German Finance Minister Lars Klingbeil is continuing to press for state intervention to tackle high energy prices amid wrangling within the coalition government over how to respond to fuel costs driven higher by the Iran war.
"The most effective thing right now is intervention in the market. We can see that in other European countries," Klingbeil told the Süddeutsche Zeitung newspaper in remarks published on Saturday.
"And I think we should have the courage to do that too," the co-leader of the centre-left Social Democrats (SPD) added.
Prices at the pump have been soaring in Germany in recent weeks after the fighting in Iran all but halted the passage of oil tankers through the crucial Strait of Hormuz.
The government introduced a measure limiting petrol stations to raising prices just once a day, but the policy has failed to bring down costs for motorists, with record highs registered after it took effect last week.
Klingbeil reiterated his call for a windfall tax, lower energy taxes and a cap on fuel prices.
The proposals are opposed by Economy Minister Katherina Reiche and are also viewed sceptically by Chancellor Friedrich Merz, both members of the conservative Christian Democrats, the largest party in the coalition.
Reiche had publicly and sharply rejected the SPD leader's proposals on Friday, which in turn angered Merz. The chancellor was "dismayed by the public spat and has urged Minister Reiche to exercise restraint," sources close to Merz told dpa.
According to Reiche, the leaders of the coalition partners are due to discuss possible measures at a coalition committee meeting on Sunday.
Monika Schnitzer, who chairs a council of economic experts that advises the German government, also spoke out against state intervention in fuel prices, saying people should drive less or at least more slowly because oil is scarce.
"Oil is scarce, we have to reduce consumption," she told the Neue Osnabruecker Zeitung daily.
Schnitzer, an economist at Ludwig Maximilian University in Munich, said most people could cope with higher fuel prices.
"We have to move away from the idea that the state always cushions everything for everyone. You should only help those who really need it," she said.
