Greece, Extra profits of 2.3 billion euros transferred to energy subsidies

, SEE Energy News

In the first quarter of implementation of the Government’s tax on extra profits of energy companies, a total of 2.3 billion euros was transferred from the wholesale electricity market to Energy Transition fund to be used for subsidizing energy prices for domestic consumers.

The largest part of this amount is related to extra profit from renewable energy producers, namely 1.16 billion euros or 56 % of the total sum. State- controlled Public Power Corporation (PPC) contributed 804 million euros, Heron was taxed with 235 million euros, Mytilineos with 137 million euros and Elpedison with 53 million euros.

The Greek Government now plans to expand the range of funding sources because it is committed to support citizens and business as long as the energy crisis lasts.

Short-term plans include the taxation of extra profits of oil and gas companies, namely HELLENiQ (former Hellenic Petroleum), Motor Oil and gas company DEPA. According to Finance Ministry, these new levies would bring additional 300 to 400 million euros for the subsidy program.

Energy Minister Kostas Skrekas said earlier that extra profits of energy suppliers in the retail market will be taxed as well, following the new model of pricing based on a forecast for wholesale costs that replaced the adjustment clause.

error: Content is protected !!