The European Union has announced emergency measures that will allow them to charge energy firms on their record profits. These windfall taxes will be applied on certain companies and there will also be mandatory cuts in electricity use.
The proposed plan also includes a levy on fossil fuel firms’ surplus profits and excess revenue made form the increasing electricity costs. The money raised through these cuts and taxes is expected to go to families and businesses. The bloc is divided on whether or not they should cap the price of wholesale gas. Europe is bracing itself for a difficult winter due to its cost of living crisis and the global energy supply shortages.
Read More: EU agrees windfall tax on energy firms