Economy

SYRIZA: With subsidies from citizens’ money, the government seeks to hide the excess profits of the energy cartel

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The government does not intervene in the energy market, does not limit excess profits, does not control profiteering and arbitrariness towards consumers, say Famellos and Perka.

With high subsidies from citizens’ money, the Mitsotakis government is trying to hide the unapproachable electricity prices and its responsibilities for the energy cartel’s super profits, according to a joint statement by S. Famellos and P. Perkas on the September subsidy announcement by Kostas Screka.

“The subsidies announced today by Mr. Skrekas finance the precision and prove the impasse created by the government, which instead of repealing the predatory Mitsotakis clause has driven electricity prices to the heights and does not intervene in profiteering, as it protects the interests of a few producers of electricity that are still accumulating excess profits” state the SYRIZA MPs and continue:

“Mr. Skrekas today had the audacity to refer to ‘a huge effort made by the Government, which exhausts all financial possibilities’, while we know that the subsidies come from money paid by the citizens themselves, through unfair charges on electricity bills and over-collection of taxes from the entire spectrum of the market.

The government does not intervene in the energy market, does not limit excess profits, does not control profiteering and arbitrariness towards consumers and has locked the country in a vicious cycle of subsidies and over-dependence on imported expensive and scarce natural gas. The only achievement of the government is #accuracy_Mitsotaki!

Equally unacceptable is that Mr. Skrekas promises a future rationalization of HYCO charges while consumers should have seen a reduction of HYCO charges a year ago due to the completion of interconnection projects (including the small interconnection of Crete). In exactly the same way, ETMEAR fees should have been reduced, which were unfairly paid by all consumers for a year, creating a surplus of 1.1 billion euros in the Special RES Account, which then fed the Energy Transition Fund.

It is provocative that the government promises that in the future it will reduce unfair charges that it has maintained in the middle of a crisis for a year, burdening consumers. And even more so when this announcement is linked to a new “hedging contribution” to electricity bills which will feed a new reserve account, thus a new burden on consumers.

However, even after today’s announcements, many categories of consumers still remain incompletely shielded, such as Municipalities, DEYA, TOEB, crafts, medium voltage consumers, etc. The threat to important social, productive and economic functions due to the government’s inadequacy is now clear.

But once again, the government did not say a word about the surplus profits of the power producers, how much they think they are, when they will be taxed and when they will be returned to consumers. We remind you that 2.2 billion euros have been taken from consumers in the period July 2021-June 2021, with the backs of the government.

Instead of getting his hands on the excess profits and reducing prices, as SYRIZA-PS has been insisting for a year, Mr. Mitsotakis christens the citizens’ money as subsidies, with which precision and excess profits are re-financed.

In energy policy, the government’s inadequacy and unreliability are demonstrated daily, with households and the country’s economy suffering the tragic consequences. The need to reverse the energy impasse requires the acceleration of political change.”

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