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EU Commission proposes windfall levies on power, fossil fuel firms

EU Commission proposes windfall levies on power, fossil fuel firms

Reuters · 09/14/2022 08:30
EU Commission proposes windfall levies on power, fossil fuel firms

- The European Commission proposed measures on Wednesday to cap revenues from low-cost electricity generators, force fossil fuel firms to share profits, and require EU countries to cut electricity use during peak price hours.

The revenue cap for -gas fuelled power generators would be set at 180 euros per megawatt hour. Governments would recoup any proceeds above this price after power trades are settled, said the Commission proposal published on Wednesday.

Fossil fuel companies would be required to hand over to governments 33% of their surplus profits from fiscal year 2022, with surplus profits defined as those above a 20% increase in a company's average taxable profits from the last three years, the proposal said.



(Reporting by Kate Abnett, Marine Strauss)

((Kate.Abnett@thomsonreuters.com;))