Of the nearly €10.46 billion in expenditure “committed so far” by EU Member States “to mitigate the impact of the war [in the Middle East] on energy bills”, almost 80% - or €8.3 billion - is not targeted, according to data released on Tuesday 28 April by the Bruegel think-tank.
Such a situation runs counter to “the recommendations of several institutions, such as the European Commission and the ECB”, points out the think tank, whose database lists the budgetary measures announced, country by country, in response to the energy crisis.
The European Commission is asking the capitals to favour support measures that are temporary and targeted in particular at the most vulnerable households (see EUROPE 13854/1). It is concerned about national public finances and wants to avoid sacrificing decarbonisation by over-subsidising fossil fuel consumption.
“The largest amounts are spent on reducing excise duties or VAT [on energy]. Several countries have also introduced sectoral measures (e.g. fuel rebates), while only four countries have introduced measures specifically targeting households”, Bruegel criticises.
“In absolute terms, Spain and Germany are by far the countries that have committed the largest amounts”, adds the think tank.
See Bruegel 's monitoring tool: https://aeur.eu/f/lqc (Original version in French by Clément Solal)