AKEL initiative for taxing energy companies’ excess profits

 

With the people or with the big private interests?

Statement by AKEL C.C. Spokesperson Giorgos Koukoumas

4 July 2022, AKEL C.C. Press Office, Nicosia

The much-publicised meeting at the Presidential Palace did not yield any immediate measures to provide relief to society. Neither a cap on fuel is being discussed by the government, nor the restoration of the Automatic Cost of Living Allowance (COLA), nor a reduction in VAT on essential goods, nor any of the other proposals submitted by AKEL. In other words, the ruling DISY party government is telling the people to get by on meagre means.

Besides, the economic theory of the ruling DISY party is shamelessly cynical: they claim that if people have more money in their pockets, prices will go up. In other words, starve society in order to bring down inflation.

However, DISY and its government are hiding a great truth: unprecedented increases do not have the same consequences for everyone. While the pockets of households are being emptied, the coffers of the state and the big energy companies are being filled with revenues they never would have imagined. However, the government does not want to harm the big interests in the slightest.

Therefore, since the government does not want to proceed with the taxation of the windfall surpluses recorded by the energy companies, AKEL is taking a legislative initiative and we call on all political forces to take a stand.

With the people or with the big private interests?