Italia, Germany, Spain, Portugal and Austria call for a tax on energy companies' extra profits. EU Commission: we will respond

Five EU economics ministers, including Giancarlo Giorgetti, are calling for a measure to tax the extra profits of energy companies, in reaction to rising fuel prices due to the war in the Middle East. Besides Italia, the demand is also endorsed by Germany, Spain, Portugal and Austria. "A European solution," they write in a letter to EU commissioner Wopke Hoekstra, "would be a signal to citizens" and the economy by showing that "we are united and able to act" and would send a "clear message": those who profit from the consequences of war must do their part.

"The conflict in the Middle East has caused an increase in oil prices, imposing a significant burden on the European economy and European citizens" and "it is important to ensure that this burden is distributed fairly", write in a letter to the European Climate Commissioner Wopke Hoekstra together with Giorgetti, the economy ministers of Austria Markus Marterbauer, Germany Lars Klingbeil, Portugal Joaquim Miranda Sarmento and Spain Carlos Cuerpo. The five recall having "supported and promoted measures to tax the extra profits of energy companies" and ask the Commission to develop "a similar instrument at EU level, founded on a solid legal basis".

"A European solution would be a signal to the citizens of our member states and to the economy as a whole, showing that we are united and able to act" and would send "a clear message: those who profit from the consequences of the war must do their part to alleviate the burden on the community". According to the ministers, acting together would make it possible to "finance temporary support measures, in particular for consumers, and contain the rise in inflation, without further burdening public budgets". Brussels is called upon to 'rapidly develop' the instrument and to assess 'whether and how the foreign profits of multinational oil companies can be included in a more targeted way' than the previous contribution of 2022.

"We have received the letter. We are currently examining it and will respond in due course'. This was stated by a European Commission spokesperson, confirming that they had received the letter in which the economy ministers of Spain, Germany, Italia, Portugal and Austria ask for an intervention on the extra profits of energy companies, through a possible temporary solidarity mechanism. The spokesperson also recalled that the EU executive is working "closely with member states on possible targeted policy measures" to respond to the energy crisis, recalling the lessons learned in 2022 and the temporary solidarity instrument introduced then. "Although we are not in the same situation, it is important to take into account the experience gained," he added.

"The initiative of the five EU economics ministers, including Italy's, to tackle the issue of energy companies' extra profits at EU level can demonstrate that Europe knows how to react in a unified and effective manner in a phase marked by price rises linked to tensions in the Middle East. But to really achieve the objective, the Union will have to build this proposal together with the energy sector players, defining uniform, transparent and unambiguously applicable criteria. It is essential to prevent the initiative from being defined as a punitive measure or as yet another tax, which would not serve the purpose," said Stefania Craxi, president of the Forza Italia senators.