Factbox-Governments worldwide shield households from rising energy costs

Factbox-Governments worldwide shield households from rising energy costs

Global Government Responses to Rising Energy Costs

April 22 (Reuters) - Governments worldwide are trying to shield consumers from soaring energy costs resulting from the U.S.-Israeli war on Iran. 

Here’s how different countries are responding:

Europe

United Kingdom

** Britain is looking to force older wind and solar generators onto fixed contracts in a bid to bring down consumer bills.

The Netherlands

** 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.

Sweden

** 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.

European Union

** European Union 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.

Serbia

** Serbia will cut excise duties on crude oil by a cumulative 60% and has extended a ban on crude oil and fuel product exports to safeguard its domestic market.

Italy

** 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 capitalising on the energy crisis.

Spain

** The prime minister said parliament is expected to vote on measures including lowering fuel and electricity taxes and granting fuel subsidies to sectors most exposed to energy price spikes.

Greece

** Greece will offer subsidies for fuel and fertilisers and ferry ticket discounts worth a total 300 million euros ($346 million) in April and May to shield consumers and farmers, the prime minister said.

** Athens has announced 500 million euros ($588 million) in extra aid to households and farmers struggling with the impact of the Iran war after a higher primary budget surplus for 2025 offered headroom for fresh support.

Romania

** The government said it will reduce excise tax on diesel by 0.30 lei ($0.0679) per litre. 

Slovenia

** Slovenia temporarily limited fuel purchases to tackle shortages at the pump caused in part by cross-border fuelling and stockpiling.

Asia-Pacific

India

** India will review its fuel exports if needed to ensure availability in the local markets and is assessing fuel-supply requests from its neighbours and will approve exports only if it has surplus volumes.

** The country has barred consumers with piped natural gas from retaining or refilling LPG cylinders and has invoked emergency powers directing refiners to maximise LPG production, widely used for cooking.

South Korea

** South Korea is easing limits on coal-fired power generation capacity and raising nuclear plant utilisation to as high as 80%.

** It has begun enforcing a ban on naphtha exports to boost domestic supplies.

China

** China has banned refined fuel exports to pre-empt a potential domestic fuel shortage, four sources said.  

** It is releasing fertiliser supplies from national commercial reserves ahead of spring planting.

Australia

** Australia is releasing petrol/gasoline and diesel from domestic reserves to ease shortages affecting rural supply chains, mining and agriculture.

** Its prime minister has encouraged citizens to use public transport.

Japan

** Japan will relax rules for the fiscal year that began this month to increase the use of coal-fired power plants.

** The country plans to increase imports of intermediate chemical products such as plastics, as it faces tighter naphtha supplies due to the conflict.

** The Nikkei business daily said Japan has agreed to import 1 million barrels of crude oil from Mexico for delivery as early as July, to diversify its energy sources due to the war.

Bangladesh

** Bangladesh is seeking billions in external financing to secure fuel and liquefied natural gas imports.

Cambodia

** Cambodia is importing more fuel from suppliers in Singapore and Malaysia to make up for supply shortfalls from Vietnam and China.

Malaysia

** 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.

** The government said it is applying measures to shore up fertiliser supply amid a domestic supply crunch.

** The government has announced steps including central bank support for companies, efforts to diversify energy sources and secure inputs, enhanced monitoring of vulnerable sectors, and a special access pathway for critical medicines and medical devices.

Thailand

** Thailand has discussed with Russia the possibility of purchasing crude oil, a deputy prime minister said.

** The minister said the government would try to cap domestic diesel prices at 33 baht ($1.02) per litre.

** The Thai Planning Agency said the government will freeze prices of some goods and provide support for farmers.

Philippines

** The energy market regulator said it had suspended the wholesale electricity spot market across its three grids until further notice due to fuel supply risks and price volatility.

** It plans to curb power bills by boosting coal-fired power generation and regulating electricity tariffs.

** The Philippines is working with Washington to secure waivers so it can obtain oil from U.S.-sanctioned countries and guarantee supplies.

** The energy ministry said it was activating a 20 billion peso ($333 million) emergency fund to strengthen fuel security amid oil price volatility.

Vietnam

Americas

Argentina

** The government has issued a decree to delay the effects of scheduled increases in taxes on liquid fuels and carbon dioxide.

Summary

This factbox highlights the diverse measures governments are taking to protect households and economies from the impact of rising energy prices amid global conflict and supply disruptions.