Eurozone finance ministers are discussing in Luxembourg the consequences of rising energy prices for budgets, households and businesses. Among the ideas being considered is a European tax on excess profits of energy companies, proposed by several countries, including Spain.
The proposal aims to provide additional revenue to support consumers and companies, without directly increasing public debt. The issue is also to be formally discussed at a meeting of the EU's Economic and Financial Affairs Council.
Inflation is again driven by energy
Eurostat reports annual inflation of 3.8% in the eurozone in September 2026, compared to 3.2% in August. The energy component reached 18.8% year-on-year and is the highest among the main groups in the consumer basket.
Wholesale electricity prices in the European Union increased by 22.8% between February and August. The publication also cites an 88.4% increase in gas prices, linked to geopolitical instability around the Strait of Hormuz. These data are presented as information from the industry association Eurelectric.
Spain wants both aid and investment
The Spanish position combines short-term and long-term measures. Madrid supports investments in electrification, renewable energy sources and network infrastructure to reduce dependence on external price shocks.
In parallel, the Spanish government is pushing for immediate protection of vulnerable consumers and businesses from high energy costs. A tax on excess profits has been presented as a possible way to finance this support without violating budgetary discipline rules.
Brussels warns of limited budgetary space
European Commissioner for Economic Affairs Valdis Dombrovskis has stressed that highly indebted countries must follow a “cautious course“ in budgetary policy. The European Commission is insisting on adherence to agreed debt reduction trajectories and careful use of the flexibility allowed for energy costs.
Italy and Greece have requested a further extension of this flexibility. According to senior European officials, frequent changes to the rules could undermine confidence in the EU's fiscal framework.
The Eurogroup's official agenda includes a discussion of the impact of energy markets on the eurozone economy. It also includes the procedure for selecting a successor to Isabelle Schnabel, who will leave the ECB Executive Board on 3 January 2027.
The Spanish government has already announced its support for the candidacy of former Bank of Spain Governor Pablo Hernández de Cos as President of the European Central Bank.