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    European Agenda

    Tax the energy sector correctly: Reform urgently needed

    Tax is an effective way of steering consumers’ behavior. As synthetic fuels are key to reaching climate targets, they should be considered more closely by the energy tax guidelines.

    Tax is an effective way of steering consumers’ behavior. As synthetic fuels are key to reaching climate targets, they should be considered more closely by the energy tax guidelines.

    Revising the energy tax guidelines: Incorporate renewable fuels now

    The European Green Deal focuses its political agenda on climate policy. As part of its "Fit for 55" package, the European Commission will propose a revision to the energy tax guidelines, which have remained unchanged since 2003. Taxes constitute a significant percentage of the end price that consumers pay for their energy. For this reason, the energy tax guidelines will play an especially decisive role.

    The current energy tax guidelines, which have been in place for nearly two decades now, also fail to take renewable fuels sufficiently into consideration. Especially when it comes to the emissions of existing fleets and commercial vehicles, renewable fuels are needed as a supplement to electromobility if the ambitious climate targets set for the traffic sector are to be met.

    Mitja Schulz
    Contact person

    Mitja Schulz

    Head of Brussels Office

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