ExxonMobil challenge may risk €500m windfall energy taxes

The oil giant is legally challenging a decision to levy ‘solidarity contributions’ on massive profits of fossil fuel sector

ExxonMobil: the oil giant lodged a case with the EU General Court challenging the EU regulation regarding the 'solidarity contribution’ levied on fossil fuel profits. Picture: Bloomberg

Up to €500 million in revenue from the Irish government’s windfall energy tax could be at risk due to a legal challenge at European level.

Last year, the European Parliament adopted a regulation telling member states to set up “temporary solidarity contributions” to be levied on the excess profits of companies in the fossil fuel sector. This windfall tax measure was adopted alongside a market price cap on non-gas electricity generators.

It meant that member ...