Brussels, 29/05/2012 (Agence Europe) - Ahead of a policy debate at the 22 June ECOFIN Council vis-à-vis the updating of the energy taxation directive (2003/96/EC), the Danish Presidency has drafted a memorandum for ministers which has been seen by this newsletter. It describes progress in the talks over the Commission's draft legislation (unveiled in April last year), which is expected to come into forced on 1 January 2013, and sets out future negotiating guidelines. After many hours of talks under the Hungarian, Polish and Danish Presidencies, the minister are asked to express their views on the following issues: New fuel tax structure: - What should be the new structure's underlying principle? Should it be two-pronged and calculated on energy content (€x per GJ) and carbon emissions (€x per tonne) for different fuels for various uses and if so, should member states be allowed not to use this two-pronged structure, but to continue to levy a single tax as at present? - Should the binding rules suggested by the European Commission for higher taxation than the minimum be abolished to let member states decide for themselves how high the tax should be in their country? - Should the new minimum tax system include price indicators under the EU's carbon trading system to avoid any overlap? New minimum tax rates: - Is it a good idea to begin future talks on this question now, based on the Commission's proposal, or would it be better to plan for gradual introduction of minimum tax rates? Futures tax exemption rules: Would it be a good idea to start future talks now on tax exemption, based on the current rules? Before it is submitted to the ministers, the Danish Presidency's memorandum will be examined on 6 June by the Council of Ministers' working group on tax. (FG/transl.fl)