Germany's lower house of parliament passed a law worth about 100 billion euros to subsidize electricity and gas bills for households and industry starting in January, Reuters reported.

For households and small businesses, the so-called price brake will take effect in March. It will apply retroactively from January to April 2024, limiting gas prices to 12 euro cents per kilowatt-hour (kWh) and electricity prices to 40 cents per 80 percent usage based on last year's consumption. In addition, the idea is that higher market prices will encourage savings.

About 25,000 large industrial customers would be priced at 7 cents for gas and 13 cents for electricity for 70 percent of their consumption.

Starting next year, companies that benefit from the price brake will face restrictions on the payment of bonuses and dividends to managers.

Those who receive more than 25 million euros in state aid will be banned from paying new bonuses or dividends, with a complete ban on any such payments for those who receive more than 50 million.

The package passed by lawmakers also includes the collection of super-profits from energy producers to finance the bailout, as well as measures to promote renewable energy sources.