A new study recommends implementing profit-based taxes on fossil fuel companies in the EU to finance the energy transition, protect consumers, and support energy savings and electrification. The goal is to redirect capital towards clean energy, strengthen Europe's energy security, and achieve climate goals. Measures include introducing a differentiated corporate tax framework, extending taxation of windfall profits, and establishing an EU-level methodology to monitor price pass-through. Additionally, there is a focus on protecting workers in the fossil fuel sector and recycling revenues from fossil fuel profit taxes into the energy transition to discourage further fossil fuel expansion and promote the transition to clean energy.
https://cleantechnica.com/2026/02/20/taxing-fossil-fuel-profits/