economy

April 4, 2026

Proposal to Introduce Tax on Extra Profits of Energy Companies

Finance ministers of five European Union countries have called for the introduction of a tax on the extraordinary profits of energy companies due to rising fuel prices caused by the war with Iran, according to a letter to the European Commission seen by Reuters.

Proposal to Introduce Tax on Extra Profits of Energy Companies

TL;DR

  • Five EU finance ministers have proposed a tax on extraordinary profits of energy companies.
  • The proposal is a response to rising fuel prices linked to the war with Iran.
  • Ministers argue that companies profiting from the war should help citizens.
  • J.P. Morgan predicts oil prices could reach $150 per barrel if the Strait of Hormuz remains disrupted.
  • Diesel prices in Europe have hit their highest point since 2022.