EU chief proposes electricity market reform, revenue cap - BusinessMirror

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A top European Union official unveiled Wednesday a plan to cap the revenues of electricity producing companies that are making extraordinary profits due to the war in Ukraine and climate change.

BRUSSELS—A top European Union official unveiled Wednesday a plan to cap the revenues of electricity producing companies that are making extraordinary profits due to the war in Ukraine and climate change, saying the proposal could raise $140 billion to help people hit by spiraling energy prices.

“In our social market economy, profits are OK, they are good. But in these times it is wrong to receive extraordinary record revenues and profits benefitting from war and on the back of consumers. In these times, profits must be shared and channeled to those who need it the most,” she said. With winter approaching, the 27 EU member countries are struggling to contain an energy crisis that could lead to rolling blackouts, shuttered factories and a deep recession. Russia has already cut gas supplies partially or entirely to 13 member countries.

 

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