LONDON: Governments worldwide are trying to shield consumers from soaring energy costs resulting from the US-Israeli war on Iran.
Here’s how different countries are responding:
Britain is looking to force older wind and solar generators onto fixed contracts in a bid to bring down consumer bills.
The Dutch government announced temporary tax breaks to compensate for rising fuel prices and said it would prepare further measures in case the energy crisis worsens.
HIGHLIGHT
Poland is working on a solution to lower fuel prices which may involve lowering VAT, while Ethiopia has increased subsidies.
Sweden’s government will cut fuel taxes and hike electricity subsidies in its spring mini-budget as it strives to ease the pain for households of higher energy bills driven by the war.
India will review its fuel exports if needed to ensure availability in the local markets, a government official said. ** India is assessing fuel-supply requests from its neighbors and will approve exports only if it has surplus volumes, the Foreign Ministry said.
South Korea is easing limits on coal-fired power generation capacity and raising nuclear power plant utilization to as high as 80 percent.
China has banned refined fuel exports to pre-empt a potential domestic fuel shortage, four sources said. It is also releasing fertilizer supplies from national commercial reserves ahead of spring planting.
Australia is releasing petrol/gasoline and diesel from domestic reserves to ease shortages affecting rural supply chains as well as mining and agriculture. Its prime minister warned the economic shocks of the war would be felt for months and encouraged citizens to take public transport.
Japan said it will relax rules for one year to increase the use of coal-fired power plants in the fiscal year starting April.
Japan called on the Group of Seven wealthy nations and the International Energy Agency to be ready to take further flexible measures to stabilize energy markets if the Iran war drags on.
EU leaders called for temporary measures to mitigate the impact of a surge in energy prices, with electricity tax cuts, lower grid fees and state support put forward as possible short-term fixes.
Bangladesh is seeking billions in external financing to secure fuel and liquefied natural gas imports.
Serbia will cut excise duties on crude oil by a cumulative 60 percent to calm the local market.
It has also extended a ban on crude oil and fuel product exports to safeguard its market from shortages and price spikes.
Italian Prime Minister Giorgia Meloni has said Italy is considering cutting excise duties to soften fuel prices and is ready to raise taxes on firms responsible for unduly capitalizing on the energy crisis.
The Spanish prime minister said parliament is expected to vote on measures proposed by the Cabinet to help citizens weather the economic fallout, including lowering fuel and electricity taxes and granting fuel subsidies to sectors most exposed to energy price spikes.
Cambodia is importing more fuel from suppliers in Singapore and Malaysia to make up for supply shortfalls from Vietnam and China.
Malaysia will raise spending on petrol subsidies to 2 billion ringgit ($510 million) from 700 million ringgit to maintain the fixed price of the fuel.
Thailand has discussed with the Russian government the possibility of purchasing crude oil, a deputy prime minister said.
The minister also said the government would try to cap domestic diesel prices at 33 baht ($1.02) per liter.
Greece will offer subsidies for fuel and fertilizers and ferry ticket discounts worth a total €300 million euros ($346 million) in April and May to shield consumers and farmers, Prime Minister Kyriakos Mitsotakis said.
The Philippines’ energy market regulator said it had suspended the country’s wholesale electricity spot market across all its three grids until further notice due to fuel supply risks and price volatility.
Singapore’s prime minister said the government will bring forward some support measures announced at this year’s budget to cushion the impact of the conflict on households and businesses.
Indonesia’s President Prabowo Subianto wants to increase the country’s coal production, and the government is considering a windfall tax on exports. South Africa will reduce its fuel levy for one month to stop fuel prices rising even further in April.
Brazil is rolling out a new plan to help states subsidise diesel imports. Earlier in March, the government scrapped federal taxes on diesel and imposed a 12 percent tax on oil exports.
Egypt has capped the price of unsubsidized bread sold in private bakeries.
It will raise the local wheat procurement price to 2,500 pounds ($46.76) per ardeb (150 kg) for this year’s harvest, as it moves to increase stocks of strategic commodities.
Sri Lanka will introduce additional fuel-rationing measures to shorten queues and secure extra oil supplies, a senior official said.
