Ahead of the Energy Council on 29 October, the Electrification Alliance sent a letter urging Energy Ministers to publicly endorse Article 18c of the European Commission’s Proposal on future-proofing electricity bills in the Union.
Article 18c aims to ensure electricity is not taxed more heavily than fossil gas, a pragmatic fix to a persistent distortion. With household electricity charges in Europe being nearly 15 times higher than in China, tackling high energy prices and safeguarding competitiveness must be Europe’s top priority, and Article 18c directly delivers on it.
The evidence backing this approach is compelling. The Draghi report identifies energy taxation as a structural driver of Europe’s energy price gap with international competitors. Moreover, the Commission’s Electrification Action Plan notes that taxes on electricity are in some cases disproportionate, with electricity taxed more than fossil gas for final consumers in most Member States.
Correcting these fiscal distortions is essential to unlock clean direct electrification: the fastest lever for driving down systemic energy costs, strengthening industrial competitiveness, enhancing energy security, and protecting consumers from fossil fuel volatility.
This is why the Alliance calls on Ministers to endorse Article 18c and commit to swift national implementation once adopted, and stands ready to support Member States and the Commission in advancing the initiative.
Read the letter here.