SYRIZA proposes windfall tax on refineries to fund heating subsidies

The SYRIZA–Progressive Alliance has submitted a legislative proposal to the Greek Parliament aimed at reducing fuel costs and increasing heating subsidies. The proposal suggests a 90% extraordinary contribution on the 2026 excess profits of refineries, calculated as 20% above the average profit from the 2022–2025 period.

Key measures in the proposal include: • Doubling the heating oil subsidy for the 2026–2027 winter period compared to the previous year. • Reducing the Special Consumption Tax (SCT) on heating oil from 28 to 2.1 cents per liter. If fully passed to consumers, this could result in a benefit of approximately 321 euros per 1,000 liters. • Reducing the SCT on unleaded gasoline and diesel to the minimum levels permitted by European Union directives for one year, with the possibility of an extension.

The revenue generated from the refinery windfall tax would be prioritized for heating subsidies and financing fuel tax reductions. The party argues that while households and small businesses face heavy burdens from high fuel prices, large refining groups are seeing explosive increases in profitability.