The federal government of Germany introduced a regulation on Wednesday that limits gas stations to a single price increase per day, at 12:00 PM.
This measure was adopted against the backdrop of a sharp rise in fuel costs, caused by the war in the Middle East, which led to price changes of up to 22 times a day. The German executive, led by conservative Friedrich Merz, denounced the phenomenon known as the 'rocket and pan effect', in which fuel prices rise rapidly following an increase in crude oil prices, but decrease slowly when it becomes cheaper. The new regulations allow gas stations to lower prices at any time, and businesses that do not comply with the ban on price increases risk fines of up to 100,000 euros. Additionally, Germany has adopted legislative changes to penalize companies that impose abusive price hikes on fuel.
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