Energy giant ExxonMobil has gone to the European court because the company does not agree with an EU tax increase. This autumn, Europe introduced an extra tax for companies that make a lot of profit due to the high energy prices. According to the American company, this measure is counterproductive.
Exxon states that the measure ensures that energy companies invest less in Europe. As a result, the EU would have to import even more oil and gas than it already does.
Oil and gas prices have risen sharply recently, partly because Russia invaded Ukraine in February. The price of gas in particular went through the roof. Fossil fuel suppliers could therefore make extra profit. For example, ExxonMobil posted a profit of 19.7 billion dollars (18.5 billion euros) in the third quarter of this year. Other energy companies also made significant gains.
The high prices are a problem for households and businesses. In a number of cases, they saw their energy bills rise by hundreds of percent. The EU wants to compensate them and wants to get that money from energy companies that benefit from the high prices.
Exxon therefore cannot agree with this and is now starting a case at the European Court of Justice in Luxembourg. The American group starts the business through its subsidiaries in the Netherlands and Germany.
The EU says it has “taken note” of the decision. If the tax has to be removed, it is estimated that this could save Brussels several tens of billions of euros in revenue.