EC reviews energy taxes directive

EU states enjoy more than 100 exemptions from the directive. The exemptions
are to be reviewed in the next few months, close to their expiry date in

EU taxation commissioner Laszlo Kovacs wants to abolish the local variations,
believing they damage the directive, which tries to keep energy taxes within set

Governments will have to ask the commission and fellow member states to
reintroduce the exemptions, and Brussels has released a document that asks them
to drop these special national rules. ‘The expiry of these derogations is an
important step towards the implementation of the energy tax directive,’ said

He asked member states to look at whether they really wanted these breaks
reintroduced. The commission document said: ‘These derogations should no longer
be renewed.’

Officials believe that they prevent free competition within the EU and hamper
attempts to forge a pan-EU energy policy.

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