The President of the European Commission, Ursula von der Leyen, presented several measures against the energy crisis on Wednesday. Among the proposals is a “solidarity tax” on oil, gas and coal. The tax will in turn be distributed to hard-working households and businesses. It shows a draft of the package of measures that the Energy and Climate website has obtained. The proposal is then considered by the member states (the Council). The measures are not part of the EEA agreement to which Norway is bound. The President of the European Commission, Ursula von der Leyen, presented several measures against the energy crisis on Wednesday. Photo: Jean-Francois Badias / AP – We can be inspired by the measures There are still signs that the “solidarity tax” is increasing the pressure on Norway to share the super profit, which both the state and Equinor are collecting on the shelf. – These are measures that put pressure on Norway, and is something we should comply with to a large extent for political reasons, says NHH professor Ola Honningdal Grytten. A corresponding signal comes from parts of the Storting: Lars Haltbrekken, SV: – Norway is very dependent on the high gas prices and has a clear responsibility to contribute a part of this income. Sofie Marhaug, Raudt: – Norwegian politicians should discuss fixed price agreements or other solutions to curb the high prices outside the country’s borders. Paal Frisvold in MDG: – We can be inspired by the measures and give power producers with exceptionally high incomes a fee which is channeled to the users. This is rejected by the Storting bench of the Progress Party: – It is not the responsibility of Norwegian taxpayers to subsidize energy to a country that for several years has pursued an irresponsible energy policy, says Marius A. Nilsen, who is energy policy spokesperson in the FRP (see the full answer in the box below). This is what they say about the new “solidarity tax” Marius A. Nilsen (Frp) – The tax burden for the oil and gas industry on the Norwegian continental shelf is already very high and the income from the industry makes our welfare society possible. It is not out of the question that the EU will dictate Norwegian energy policy by imposing an even higher level of taxes and levies on the companies due to high gas prices. Here I expect the government to clearly and unambiguously reject proposals from the EU that interfere with the right to self-governance over the continental shelf. It is not the responsibility of Norwegian taxpayers to subsidize energy to countries that have for several years pursued an irresponsible energy policy. Norway’s most important contribution to our allied neighboring countries in Europe is to search for, produce and export more oil and gas. Other things being equal, it will increase the amount of energy, reduce prices and reduce European countries’ dependence on Russian gas. Unfortunately, Støre and Vedum have let SV get the go-ahead to award the 26th round of concessions and with it exploration for oil and gas in new fields. This is not only profoundly disloyal to Europe, but the decision also gives more power to those who now use energy as a means of pressure against European countries. Nikolai Astrup (H) – There are many different proposals that are now being considered, and Norway must contribute constructively in all discussions about how households and businesses can get help to deal with the extreme prices of gas and power that the whole of Europe is now suffering from as a consequence of the war in Ukraine. I expect the Norwegian government to have close contact with the European Commission and leading European countries on all measures that may have something to say for Norway. It is difficult to take a position on a solidarity levy before we have seen the concrete proposal. Sofie Marhaug (R) – This puts pressure on Norway. And it challenges the narrative that Norwegian energy production is a kind of solidarity project. Because it is not, neither the export of hydropower nor oil and gas; it is trade. The power and petroleum booms cost a lot of money in the crisis. I think Norwegian politicians should discuss how we can reduce prices here at home (maximum price for electricity) as well as discuss fixed price agreements or other solutions to reduce the high prices outside the country’s borders. Fredrik Mellem, Secretary General of the European Movement – There are probably few in Norway who believe that we as a nation should use the war in Ukraine or the energy crisis in Europe to fill our previously well-filled coffers. “War profiteer” is not a term that goes to be fashionable in Norway. Here, it is not just about individual companies, but that Norway as a whole and Norwegians stand out as war profiteers. We cannot stand for that. It is good that the European Commission is now putting forward proposals for joint handling of the crises. The absolute last thing we need now is for all countries in Europe to try to create their own fixed solutions. This will quickly result in the countries individually making arrangements that affect the respective neighboring countries in unfortunate ways. It can start a political competition in nationalist and protectionist measures. It would be the exact opposite of what countries in Europe need now. Norges Bank increases the krone sale to NOK 3.5 billion a day, as a result of the oil and gas revenues. Photo: Marit Hommedal / NTB scanpix – The Norwegian super-profit is losing its reputation In a normal year, revenues from oil, gas and electricity account for around NOK 500 billion in the Norwegian treasury. According to The Economist, revenues this year are expected to be 200 billion dollars as a result of the war in Ukraine. That is almost NOK 2,000 billion. In an article, the journal writes that the “war income” embarrasses Norway, and that the country should put more of the “war profit” into the European coffers. Appeals to the Norwegian conscience have also featured in Time magazine and the British newspaper Financial Times. The word “war profiteer” appears more and more often, writes Dagens Næringsliv, which has obtained access to a memo from Norwegian embassies. The newspaper concludes: “the Norwegian super-profit is losing its reputation”. – We do not wish to speculate on what proposals will come, and must return to that when the content becomes known, says Magnus Frantzen Eidsvold in Equinor. Equinor increased gas production on the NCS by 18 per cent in the second quarter compared to the same period last year. Eidsvold adds: – The situation in Europe is worrying and we understand that various measures are being considered to remedy industry and households. Our most important contribution is to maintain as high, stable and reliable supplies of energy as possible. Although much needs to be done for the EU to intervene directly in the energy market, Equinor and others who sell gas are free to enter into long-term agreements at prices they define themselves. Photo: Roger Hardy / Samfoto – Norway is about to become Europe’s bastard In the article “Norway is about to become Europe’s bastard”, BT commentator Hans K. Mjelva writes that “Norway should give Europe a discount on gas, before people start to spit after Norwegians on the streets of Berlin and Paris”. The Norwegian “super profit” was the backdrop when the Prime Minister of Poland, Mateusz Morawiecki, said that Polish youth should write to their Norwegian friends with encouragement that we “share our war profit”. The FRP and Høgre are nevertheless signaling that Norway has done enough as it is. Both parties refer to the general tax burden and the CO₂ tax. – In this sense, we already have a fossil fuel tax that not everyone in the EU has, says Ove Trellevik (H). He adds: – I don’t think we have reason to worry about increased pressure. Europe imports large quantities of gas, coal and oil from other parts of the world, so special expectations for Norway regarding financial support become meaningless.
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New EU tax increases the pressure on Norway’s stream profit – news Vestland
