Europe’s energy crisis toolbox ---------------------------------------- European heads of government will likely give the green light to a temporary windfall tax on exceptional profits of energy companies to provide further relief to the most vulnerable consumers ---------------------------------------- Europe Brent spot price ($ per barrel) Oct 2021: Energy Taxation Directive allows EU members to temporarily exempt or apply reduced tax rates for vulnerable households on electricity, natural gas, coal and solid fuels Mar 7: 139.13 Crude oil price up 128.9% in past year Mar 23, 2021: 60.79 Oct 13: 83.69 Aug 31: 73.52 Up 20.9% since March Mar 22: $115.33 120 90 60 Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar 2021 2022 ---------------------------------------- FRANCE: €25-26 billion government package. Electricity costs capped at 4% increase. Help for companies with higher energy costs DENMARK: So-called “heat cheque” – 1 billion krone (€134.4m) in subsidies paid to some 320,000 hardest-hit households GERMANY: Government has approved tax relief totalling €4.5 billion, including allowance for commuters. Finance Minister wants to introduce temporary €6.6bn rebate for petrol and diesel SWEDEN: Plan for 14 billion krona (€1.32bn) subsidy package, including temporary reduction of petrol and diesel taxes, one-time payout of €96 to car owners plus housing subsidies GREECE: Has spent around €2.5 billion in energy subsidies since September. Recently announced additional €1.1bn, including fuel rebate for low-income households ITALY: €16 billion package to help companies and households announced in July 2021. Government has now approved extra €4.4bn SPAIN: VAT on energy bills cut from 21% to 10%. Special tax on electricity to remain at 0.5% UK: Price cap on household energy contracts to rise by some 50% in April. Government has announced £200 (€240.3) discount on electricity bills for all households to be repaid over five years and £150 (€180.2) council tax rebate in England ---------------------------------------- Sources: Bloomberg, Euronews, Investing.com, Reuters © GRAPHIC NEWS