Council cold on taxes for energy efficiency

EU governments close to finalising their response to commission’s energy efficiency action plan

Member states are close to finalising their response to a recent EU action plan on energy efficiency proposed by the European commission (EED 19/10/06).   Pointedly, the council’s draft conclusions avoid any reference to the commission’s desire to "facilitate a more targeted and coherent use of energy taxation".

Early drafts of the conclusions had spoken of "encouraging the commission to examine the potential of financial instruments and economic incentives" for promoting energy efficiency.  All such references have since been removed from the text, as objections by some member states meant that the required unanimity was not going to be achieved.

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