Energy crisis: Electricity subsidy over 55 euros – Scenarios for the refund of the gasoline tax

The government announcement of measures to support households and businesses in the face of large increases in electricity bills and petrol and diesel prices seems to be a matter of hours.

The information wants the competent Ministers of Finance Christos Staikouras and Environment and Energy Costas Skrekas to announce if not today, certainly tomorrow the package of measures for the financial relief of a wide group of citizens.

These will be related to the increase by at least 40% of the subsidy of electricity bills of household consumers for April with the monthly benefit being at least 55 euros from 39 euros in March.

The reduction of the price of gasoline and diesel through a mechanism that will return to drivers and professional motorists part of the tax revenue that was higher due to the price spike will be included in the energy support measures.

Motor fuels

According to what OT wrote on March 14 and confirmed yesterday by government spokesman Giannis Economou, the government is seeking to reduce the price of gasoline and diesel through the return of part of the increased tax revenues that went into public coffers.

He noted more or less that this will be done at the pump and in a way that will not be complicated for the consumer. Mr. Economou did not rule out that the beneficiaries may be even those with incomes in the range of 25,000 to 30,000 euros but also professionals.

According to information available to OT, in the initial scenarios of the government was the additional income to be given in the form of extra allowance to specific groups of citizens.

The announcement by the French government of a subsidy for petrol and diesel at 0.15 euros per liter for all citizens gave the idea of ​​creating a corresponding way of financial relief, not for all drivers but for specific categories of professionals and households under certain conditions.

OT sources want the financial staff, being unable to proceed with a price subsidy as is the case in France, to be led to the operation of an electronic platform to which the beneficiaries will be automatically connected (as it will define them). In this way, consumers will either enter the receipts of the gas stations and the amount of the discount will be credited to their bank account or they will be able to print a coupon from the platform with which they will come to the gas stations for the discount. However, the latter scenario presupposes the automatic reduction of the amount from the fuel tax that the gas station owners will have to pay. This is considered technically difficult…

Electricity

As for the subsidy of electricity bills, the government is concluding an increase in the subsidy for April.

Information wants the amount of support for household electricity consumers to exceed the level of 55 euros for April. It is increased by more than 40% compared to March, when the subsidy was to the order of 39 euros.

As in the previous quarter, the aid will be given in stages until the first 300 kilowatt hours of monthly consumption. There will be two subsidies, one for the first 150 kilowatt hours and the second for the range from 151 to 300 kilowatt hours. The grants will also concern the electricity tariffs of the main household.

The electricity subsidy for non-household bills is also expected to be higher, the information says. That is, for professionals, farmers, businesses, etc. In March, the aid was 65 euros / megawatt hour, regardless of the amount of consumption.

It remains unknown whether the subsidy for household gas bills for the month of April will continue. Although unconfirmed information wants domestic gas consumers to continue to receive aid. The continuation of aid for professionals, businesses and industries that consume gas is considered a given.

The electricity and gas bills boost affects more than 4.2 million households and businesses.

The revenues come from the emission rights of gaseous pollutants but also from the surplus of the Special RES Account.