Key facts
- Greenpeace criticizes the EU's response to the energy crisis as 'deeply incoherent'.
- The organization argues EU countries are prioritizing fossil fuel bailouts over renewable energy.
- European governments have approved around 11.8 billion euros in support measures.
- Spain's plan includes VAT cuts on energy and motor fuels, valued at over 5 billion euros.
- Greenpeace advocates for targeted aid to vulnerable households and increased taxes on polluting companies.
Greenpeace has sharply criticised the European Union's response to the energy crisis, describing it as 'deeply incoherent' and a missed opportunity to accelerate the transition to clean energy. The environmental organization's report, published on Thursday, analysed the measures taken by seven EU countries – Spain, Germany, the Netherlands, Greece, Ireland, Portugal, and Sweden – in response to the energy shock triggered by the war in Iran and the subsequent closure of the Strait of Hormuz.
According to Greenpeace, EU countries are instead allocating significant resources to 'fossil bail-outs' rather than strengthening their commitment to renewable energy. The organization noted that while Spain's government has implemented the most comprehensive and well-resourced plan, valued at over 5 billion euros, its measures are indiscriminate and do not sufficiently target vulnerable households or professional sectors. Spain's plan includes a cut in VAT on all forms of energy and a freeze on maximum prices.
Data from the Bruegel think tank indicates that European governments have approved approximately 11.8 billion euros in support measures. Spain's fiscal response alone is estimated to cost around 2.3 billion euros through across-the-board tax discounts on gas and motor fuels, which Greenpeace argues are of questionable effectiveness and recommend focusing on specific aid for vulnerable groups.
Greenpeace spokesperson Carlos García Paret stated that despite Spain's progress in renewables, 75% of its energy consumption remains fossil-based, trapping the country in volatile and polluting sources. The organization insists that the energy transition requires structural market reforms, support for self-consumption, promotion of local energy communities, and a sustained reduction in demand, rather than across-the-board tax cuts and direct subsidies for fossil fuels.