What fun from the greenies on fracking!

European Greens are considering a challenge to the UK’s tax breaks and incentives for shale gas under state aid rules, as the government holds out against a new renewable energy target for the EU.

The argument
being that charging fracking less tax than other forms of energy generation is a state subsidy.

Which is fascinating: for fracking will still be paying higher tax rates than renewables like solar or windmills. So, if that tax break is indeed a subsidy then the subsidies to renewables must be even larger: and, of course, even more illegal.

Most fun….

8 thoughts on “What fun from the greenies on fracking!”

  1. Nah, there’s a European Commission deadline for going green – can’t remember the exact details – but that abrogates state aid rules for renewables. They’ll be fine.

  2. But if the government does take the tax then, in at least some cases, the developer will decide not to develop and the state won’t get any rake off at all (ignoring the spin off .

    So taking more money from the industry is subsidising the industry. If redefining bit taking money as giving it is a 1st order redefinition of the word “subsidy” this is a 2nd order linguistic one.

  3. simples….use the same tax and subsidy rates for shale gas as for wind and solar. Cut those fed-in tariffs, for example.

  4. Lower taxes means less money for bribes to local authorities to approve shale gas. Surely the greenies will be happy about that.

  5. Load of Bollocks. Under State Aid rules they have got to establish that the lower tax rate leads to a competitive advantage in one state over another, that business moves as a result. If the Rocks to be Fracked are in the UK, then they can hardly go and Frack them in France now can they.

    This is just Europolitics and sabre rattling. Still if they bring the case at least some lawyers will make money. Which is always a good thing I suppose

Leave a Reply

Your email address will not be published. Required fields are marked *