Antonio Tajani, Italy's Foreign Minister and a leader of Forza Italia, a party within Giorgia Meloni's ruling coalition, indicated support for a form of windfall tax on energy companies. This stance is a notable shift, as Forza Italia has historically been resistant to such measures, viewing them as anti-business. Tajani clarified that while he opposes the concept of an "extraprofit" tax as defined by the left, he is open to a "contribution agreed with the oil companies" to assist the Italian economy.
The push for a windfall tax comes as Italy grapples with surging fuel prices, with self-service gasoline above $2 per liter and diesel at $2.131 per liter, and even higher prices on highways. The European Commission has reiterated that taxing extra profits is a national competence, not a common EU initiative, a position that removes a potential "alibi" for the Italian government, according to opposition leader Elly Schlein. This reinforces the pressure on Rome to act unilaterally.
The Italian government is currently evaluating its next steps, particularly concerning the expiring mini-extension of fuel discounts on August 26. Extending a general discount would cost approximately $1 billion per month. Instead, the government is considering more targeted aid measures. While the League, another coalition partner, supports a windfall tax, Forza Italia's historical opposition and Tajani's nuanced support highlight internal divisions within the center-right coalition on how to address the energy crisis.
Finance Minister Giancarlo Giorgetti had previously signed a decree to extend a diesel tax cut through August 25, part of ongoing efforts to shield consumers from price spikes. Prime Minister Meloni has also indicated a willingness to consider a windfall tax as part of a broader law decree to tackle energy price spikes. Italy is also seeking more lenient EU budget rules, arguing that energy spending should be treated similarly to defense. The government plans to request flexibility on this from the EU by mid-September.
