Six European Union member states have formally requested an EU-wide discussion on taxing windfall profits of oil companies amid sustained energy price volatility linked to regional supply disruptions.
In a joint letter sent Monday, finance ministers from Germany, Spain, Portugal, Italy, Poland and Austria called on Ireland—holder of the rotating EU presidency—to schedule talks during the next meeting of EU finance ministers in Dublin on September 18-19. The proposal follows a 25% increase in oil prices since the outbreak of the U.S.-Israeli conflict with Iran on February 28, with European diesel prices up more than 70% and gasoline prices climbing around 20% over the same period.
The ministers argued that current government measures have failed to stabilize prices for businesses and households, citing what they described as one of the largest supply shocks in decades. They emphasized the need for a common EU approach to ensure companies benefiting from the crisis contribute to easing cost-of-living pressures. The letter specifically highlighted the inclusion of foreign profits of multinational oil firms in any windfall tax framework, building on lessons from the EU’s 2022 windfall levy.
Additionally, the signatories requested expedited results from an ongoing European investigation into refiner margins to assess whether refiners are exploiting the price surge. The proposal reflects growing political pressure across the bloc to address energy affordability amid persistent inflationary pressures and geopolitical tensions.
The initiative comes as EU policymakers seek coordinated responses to mitigate the economic fallout from elevated energy costs, with discussions expected to intensify ahead of the September meeting.
