IMF warns EU governments that general measures to reduce energy prices encourage consumption and generate fiscal burdens.

The IMF, through the voice of the head of the European department Alfred Kammer, draws the attention of EU governments to the fact that they are repeating the mistakes made four years ago in managing the energy and fuel price crisis. Measures such as reducing fuel excise duties are not well-targeted and contribute to increasing fiscal burdens.

Kammer emphasizes that two-thirds of subsidies and tax reductions in the EU do not reach those who truly need them. He also mentions that some European countries are facing a fragile financial situation, limiting their ability to implement measures without budget adjustments. The IMF estimates that EU government interventions in the energy sector represented 2.5% of GDP, while current measures are only 0.18% of GDP. Examples of measures taken by various states, such as Germany and Spain, are criticized for potentially leading to higher long-term costs and greater dependence on fossil fuels. Kammer concludes that it is essential to discuss energy alternatives in the context of the ongoing crisis.