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Bavaria Cabinet Approves 10-Cent Groundwater Levy

The draft law moves to the Landtag after the summer recess with exemptions, metering, revenue allocation unresolved.

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Overview

  • The cabinet approved a uniform fee of ten cents per cubic meter on groundwater extractions, to take effect Jan. 1, 2026, with charges levied from July 1, 2026.
  • Following the summer recess, the draft law will be debated in the Landtag and is slated for final passage by the end of the year.
  • A 5,000 m³ annual allowance shields water suppliers, associations and private well operators from charges up to that threshold, while individual households face fees from the first cubic meter.
  • Exemptions cover water used for agricultural irrigation, livestock watering, fisheries and renewable energy applications, limiting the levy’s impact on key sectors.
  • Expected to generate roughly €80 million annually for water protection, the plan’s reliance on approved extraction volumes or self-reported data instead of mandatory metering has raised concerns over accuracy and equitable treatment.