00:00Next time you grumble at the petrol pump, who should you really be mad at?
00:05The oil companies? Your governments? Or maybe the EU?
00:09The truth is, you're paying for a lot more than just the energy itself.
00:13In 20 EU countries, taxes swallow more than half the price of petrol.
00:17And the EU sets a minimal petrol tax, but national governments pile on the rest.
00:23So when the Iran war spikes oil prices, these heavy levies multiply the pain of your wallet.
00:28So are there any governments stepping in to ease the pressure?
00:33The answer is yes, and Spain is leading the charge.
00:37Prime Minister Pedro Sánchez just took drastic action, rolling out 5 billion euro emergency package featuring 80 different measures.
00:45The standard 21% VAT on fuel, electricity and natural gas will go down to just 10%.
00:52And for drivers, that cut is expected to knock about 30 cents of a liter of petrol.
00:57The retail price of butane and propane, so the gas used to power your stove and heat your home, will
01:04be completely frozen.
01:06Finally, the government is also temporarily suspending the tax on the value of electricity production and issuing direct fuel subsidies
01:13for farmers and fishermen.
01:15And some countries are following suit.
01:18Italy and Austria are already planning their own national tax cuts to shield citizens.
01:24Moreover, during the last week's summit, EU leaders ordered the Commission to draft temporary emergency measures.
01:30Which is basically political speak for, we need to find quick fix to stop the bleeding.
01:35But the overall conclusion seems to be clear.
01:38The only permanent escape from volatile fuel prices is a faster shift to domestic renewables.
01:45So let's look again at Spain.
01:47Because almost 60% of their power already comes from renewables.
01:51They end up being naturally shielded from these gas price spikes.
01:55And I just wish we had this kind of a sunlight here in Brussels.
01:59Well done C
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