Energy/environmental taxation
Description:
Energy and environmental policies aim to reduce emissions and influence consumer behaviour, to encourage the industry to select low-energy products and to enhance the use of renewable energy; Directive 2003/96/EC66 on energy taxation plays a key role in supporting these objectives. Based on a community framework proposal for taxation of all competing sources of energy, the Directive widens the scope of the European rating system for energy products, previously limited to mineral oils, to all energy products including coal, natural gas and electricity. It introduced the highest minimum tax rates for oil fuels (excluding international aviation and shipping), and coal and electricity minimum tax rates, which were introduced at extremely low levels.