The measures decided on Monday evening by the federal government meeting in a select committee to reduce the impact of soaring energy prices will allow an average household to save 300 euros over the year, estimated Tuesday the Minister of the Energie Tinne Van der Straeten (Groen) at a press conference.
This new “package” of measures is in addition to a previous aid package estimated at 1.1 billion euros which was presented on February 1, before the invasion of Ukraine by Russia. From now on “we return to the population more than the additional tax revenue (generated by the rise in the price of hydrocarbons), it is normal to do so in such a context “, said Prime Minister Alexander De Croo. He stressed that the war in Ukraine had ” a very serious impact “on the wallets of Belgians, as in the whole EU, because of a behavior” irrational of energy markets.
>> Read also: Lower excise duties on fuels, fuel oil check for 200 euros…: here are the government’s measures to lower household bills
“Give back every euro of extra income”
“We are going through the biggest energy crisis, further accentuated by the war in Ukraine”confirmed Energy Minister Tinne Van der Straeten. “It shows the extent of the problem of our dependence on imports from abroad. Families and businesses are the hardest hit.”
“That is why, with the 1.3 billion euros of support measures, we are now giving them back every euro of additional income we have”as Tinne Van der Straeten explains.
VAT on gas will be reduced to 6% (instead of 21%) from April until 30 September. ” In the event of technical problems with the suppliers to implement this quickly, it will be done retroactively “, assured Minister Van der Straeten. The VAT on electricity had already been reduced previously. The measure will also be extended until the end of September.
People who heat with oil will benefit from a reduction of 200 euros on their bill.
As for the extended social tariff, which benefits one in five households, it is extended until September 30.
>> Read also: These measures that reduce (or not) your energy bill
For diesel and gasoline
For diesel and gasoline, which reached record amounts last week, a reduction in excise duty will be applied by 0.175 euro per litre, which represents for the consumer around 10 euros on a full 60 litre. A reverse ratchet system must intervene from a 1.7 euro / liter. An evaluation is scheduled for mid-June. This excise duty reduction measure has a cost for the government: 2 million euros per day for diesel and 1.26 million euros per day for gasoline.
Finance Minister Vincent Van Peteghem (CD&V) said that the government is doing everything possible to ensure that the reduction in pump prices takes effect this weekend. ” The royal decree has already been drafted. We’re doing everything we can to get this in place by this weekend. “, did he declare.
>> Read also: Why gasoline and diesel prices keep rising
Aid for the self-employed
The Minister for the Self-Employed and SMEs David Clarinval (MR) summarized the three measures taken to enable SMEs to maintain their competitiveness.
He explained first of all that aid on fuel is appreciated because it helps relieve companies that use vehicles. He then talked regarding temporary unemployment ” which is a major force “, strongly awaited by the sectors.
He then mentioned the study to be carried out by the National Bank of Belgium, in collaboration with partners and sectors. Its objective: to assess the difficulties encountered by the sectors in view of the prices of energy and raw materials, so as to provide ” concrete and well-targeted responses “. By way of example, the Minister explained that there will be no more sunflower oil in Belgium in three weeks: companies will therefore have to change their production if they wish to continue to export fries and potatoes. David Clarinval also discussed the use of nitrogen fertilizers in the agricultural sector, which has seen its price triple, an inflation that prevents farmers from maintaining their level of productivity.
SNCB had requested a tariff increase
Georges Gilkinet, the Minister of Mobility (Ecolo), explained that the SNCB Board of Directors had asked Vivaldi last Friday to increase its prices from July, the railway company being hit hard by energy inflation. This would increase ticket prices by 4.5%. The federal government, however, has decided to ” support the equivalent of revenue “what this measure would have generated – namely 13 million euros – to guarantee a stable price for travellers.
The minister believes that the train is “a solution in terms of mobility in a context of very high prices “.
Structural measures
While the Minister for Mobility assured that this is a one-off measure and that other measures are also coming, the ministers assured that work is being done at European level to put in place structural measures: that either to provide financial means or to relax certain budgetary and financial rules.
In addition to these new short-term aid measures, the Belgian government might announce in the coming days the extension of part of its nuclear power plants beyond 2025 in order to reduce its dependence on energy supplies from abroad.
>> Read also:Producers, taxes, networks… what lies behind the price of the energy bill
