Austrian Economic Minister Wolfgang Hattmannsdorfer (ÖVP) has adamantly rejected both price caps and the “excess profits tax” demanded by Federal Finance Minister Lars Klingbeil (SPD) regarding oil conglomerates. Speaking to the TV channel “Welt” on Monday, Hattmannsdorfer stated, “I am a committed market liberal. I am the Minister of Economy, not a minister of planned economies”. He expanded on his skepticism by pointing to global examples: “We have seen that in every country that has confiscated profits or imposed price ceilings, the economy has deteriorated. Venezuela did it, Cuba did it, Pakistan did it. I don’t believe these are the remedies for a European member state”. He noted that Germany and other EU members had already introduced temporary “excess profits taxes” in 2022.
Hattmannsdorfer insisted that the focus should instead be on controlled market mechanisms to ensure that falling crude oil prices on exchanges are actually passed down to consumers, while simultaneously keeping fuel production at high levels. For him, “the critical question is what we do regarding price setting. But at the same time, we must ensure that our energy infrastructure in Europe is preserved”.
Furthermore, he criticized the trend of refinery closures, arguing that 25 European refineries have shut down over the last 15 years, which “cannot be our goal”. He emphasized that if Europe intends to achieve greater energy independence-which he described as the pressing priority-it must maintain its own capacity in both refining and in the exploration and production of oil and gas within Europe. Adding a point of international concern, he mentioned that according to the International Court’s climate assessment scheduled for 2025, granting licenses for fossil fuel extraction could constitute an act violating international law.