Parliament In this way, the parties would support those suffering from rising petrol prices – only three group leaders hesitate about the need for subsidies

Fuels and electricity has risen sharply recently. At the same time, they have become the subject of a lively political debate. On Tuesday, the Basic Finns left a question on the subject with the Christian Democrats and the Movement Now.

HS asked the group leaders of all the parliamentary parties whether and how to support those suffering from the price increase.

All opposition parties want the state to support citizens because of rising prices. Among other things, various tax cuts are seen as a means.

In the ranks of the government setting off costs, the line is more cautious so far. Even among the governing parties, there is still a desire to support the people. The parties emphasize the need for additional information and clarification.

Ministry of Finance It is currently being investigated what the problem is with the rise in electricity and fuel prices in Finland in recent months.

Read more: Gasoline already costs two euros a liter, and diesel has risen sharply – Who will reap the benefits of rising prices?

Undersecretary Juha Majanen stated recently In an interview with HS among other things, to see tax cuts as a costly and ill-targeted way to alleviate the effects of rising prices on people’s daily lives. HS: n according to the assessment received from the Ministry of Finance (VM) lowering the petrol tax by five cents would reduce tax revenue by € 250 million.

The issue is politically difficult, for example, because the government is facing difficult negotiations in the spring about how much money to spend in the rest of the season. Expenditure pressures are already estimated to be more than € 1 billion higher than in the so-called expenditure framework.

Read more: A tax on gasoline is a bad idea, says the chief of staff of the Ministry of Finance

1. Should there be any state support for citizens due to rising fuel prices? If so, how?

Antti Lindtman, Chairman of the Parliamentary Group, Social Democrats

I can not say. In our parliamentary group, the position is strengthening in the direction that there is definitely a need to react somehow. However, we are currently considering what the possibilities are here, so perhaps the answer at this stage is. It is important that the solutions are such that they really affect the daily lives of citizens. Care must be taken to ensure that, for example, tax solutions are not found that are barely felt in the daily lives of citizens, but simply run into fattening the coffers of oil-producing countries. It is necessary to consider carefully what kind of tools can be used here and whether the answers can be found on the side of taxation, various subsidies or, for example, travel expenses.

Kai Mykkänen, Chairman of the Parliamentary Group, Coalition Party

Yes. We have just proposed a series of seven-point remedies, a specific action for which could be a professional diesel tax rebate to curb the unreasonably rapid increase in the cost of truck transport. Another way to help households would be a € 800 million payroll tax cut. It brings purchasing power that you can use wherever you want.

Ville Tavio, Chairman of the Parliamentary Group, Basic Finns

Yes, definitely. Probably the best way is to reduce the fuel tax. Another thing that comes to mind is the waiver of the propulsion tax on diesel cars. That would be timely because the price of diesel is also high. Taxation on professional diesel could also be reduced. Reducing the fuel tax is a fairly easy and straightforward way. The idea that some complex bureaucracy should be created to compensate for rising prices is probably not justified. It would require entirely new systems and official machinery to monitor and implement these systems.

Juha Pylväs, Chairman of the Parliamentary Group, Center

I CAN NOT SAY. The energy issue must be seen as a whole, and not by starting to build a system directly. An overall review must be made first. That is, how the rise in prices affects different people, at different income levels, regionally and so on. One system may not be able to target subsidies in a way that targets people fairly. I do not rule out any system and I do not support any system, but I am ready to find out. I know that the group is also prepared to move in some direction if a solution is found.

Atte Harjanne, Chairman of the Parliamentary Group, Greens

Yes. At the very least, it is worth looking at models that respond to the rising cost of living, but in a way that is well targeted and thoughtful, and that incentives for sustainable transition are maintained. For example, well-targeted compensation for those most severely affected could be possible. This could be considered, for example, regionally and by income. In addition, energy self-sufficiency loans, for example, could be considered. State-guaranteed loans could be used to invest in technology that will help break out of fossil energy dependence. These must, of course, be considered to be economically viable and to address a market failure.

Jussi Saramo, Chairman of the Parliamentary Group, Left Alliance

Yes. The party is in the process of preparing the case, so I will not yet take a firm stand on how. Many are forced to use a car for work, and it cannot become so expensive that it would not be worthwhile to work. When it comes to reducing fuel taxes, for example, one has to consider whether to support oil-producing countries or domestic people. The tax cut of hundreds of millions of euros is not many cents per liter, and it easily disappears when you travel to the pump. We cannot fight a long-term international trend, such as higher raw material prices or higher emission rights. But the transition must be made fairly, and in the event of sudden price increases, ways must be found to help citizens in need.

Anders Adlercreutz, Chairman of the Parliamentary Group, Swedish People’s Party

I can not say. The problem is real, it is clear. If you think you should return [polttoaineiden] prices even a year ago, so it is an investment of about two billion, given that the rise in prices is due to rising world market prices. That is certainly not possible in this situation. As a mechanism, measures relating to the taxation of labor, for example, are, on the whole, better than starting to gamble on a petrol tax on a case-by-case basis. It could be easier to address the issue of professional diesel. I am open to that debate.

Päivi Räsänen, Chairman of the Parliamentary Group, Christian Democrats

Yes. We have already proposed in the alternative budget a reduction in fuel tax of EUR 250 million. With world market prices high, tax revenues are also high, so it would make the most sense to temporarily reduce fuel taxes until world market prices fall. A tax rebate mechanism such as professional diesel could be needed, especially for the transport sector and primary production, where high fuel prices severely erode the sector’s profitability.

Harry Harkimo, Chairman, Business Now

Yes. Taxation for professional drivers should be reduced. That is quite clear, because rising prices are affecting consumer prices, and that is a big problem. VAT on fuels could also be temporarily reduced. For example, I do not believe in targeted subsidies because I do not believe that it can be done fairly.Either it is paid for everyone or it is not paid at all.

Ano Turtiainen, Chairman, Power belongs to the people

Yes. Why should something be overcharged here? After all, we are taxing fuel shockingly. This is the end of time, and everything is going to be new. The whole system has to be dismantled and through it to start rebuilding everything.

Turtiainen did not answer the second question except to state that “prices must be controlled by all possible means”.

2. Should the state support citizens due to fluctuating electricity prices? There have been sharp spikes in prices recently.

Antti Lindtman (sd)

I can not say. The same answer applies here. In our parliamentary group, the idea is strengthening in the direction that it may be necessary to react, but first we need to find out the feasible alternatives.

In all cases, it is clear that there is a need to continue moving away from fossil fuels in electricity generation, heating and transport. We need to get rid of fossil fuels so that we are not so vulnerable to changes in world market prices.

Kai Mykkänen (kok)

Yes. We propose to prepare for a seasonally reduced electricity tax rate for the coldest winter months. It could help to ensure that the bills for electric heaters do not become too high.

Ville Tavio (ps)

Yes. Absolutely. Reducing the household electricity tax should be a viable option. As I understand it, we have started to support households in electricity prices in southern Europe, so of course we could see how things have been done elsewhere.

Juha Pylväs (center)

I CAN NOT SAY. This, too, needs to be clarified. Costs are allocated differently in different regions, people and sectors.

Atte Harjanne (green)

I CAN NOT SAY. One should take care not to confuse the market and on the other hand assess the volume of the phenomenon. After all, the buyer of exchange-traded electricity has, in a way, taken that risk himself, and I understand that the energy companies have been somewhat opposed here. As such, the whole of this energy situation is worth looking at as a whole. Deputy Chairman of the Greens Iiris Suomela has drawn attention to the need to improve consumer protection in electricity contracts, for example by ensuring that consumers are always fully informed about what they are buying.

Jussi Saramo (left)

Yes. Preparations are still under way in the Left Alliance. In particular, we are considering how to help people acutely in need. Of course, it is not possible to make a permanent mechanism whereby the user of the stock exchange electricity would always benefit from cheap prices and the common tax revenue would offset expensive prices. It is not sustainable. But yes, there is a situation here now that there are individuals who are in trouble when they have misunderstood bad electricity contracts. Of course need to think about how they can be helped.

Anders Adlercreutz (r)

I can not say. With regard to the price of electricity, it must be ensured that there is an adequate supply, that the Nordic electricity grid operates smoothly and that Europe moves away from fossil fuels in energy production. These are the actions that can bring about long-term change. Direct financial support is difficult in this situation, and I consider it to be a very unlikely option. Things have already been done to curb transfer prices.

Päivi Räsänen (kd)

Yes. The most sustainable solution is to strengthen domestic diversified and self-sufficient electricity production so that electricity shortages do not cause price spikes. The price spikes are partly the result of a slowdown in nuclear power decisions in the past. Olkiluoto 3 will ease the situation. Electricity transmission prices should also get the cutter to lower the price of electricity for households.

Harry Harkimo (species)

Yes. As with fuels, a temporary tax cut. It could be done for VAT on electricity. If experts have to believe, this price spike should end in the spring. The temporary tax relief should therefore be done, but it must be done now, it cannot be expected until the spring.