Spanish wind industry warns EU Windfall Tax could harm investment

AEE, the Spanish wind industry association, warned on Monday that a proposed "windfall tax" on profits of energy companies could have a negative impact on investment in renewable energy at a time when Europe is trying to reduce its dependence on fossil fuels.

Five EU countries, among them Spain, proposed to tax the excess profits made during the energy price?rises caused by the Iran War.

Exclusively reported on Saturday that the Finance Ministers of Germany and Italy, Spain, Portugal, and Austria jointly requested an EU-wide Tax in a Letter to the European Commission. They said the measure could fund'relief to consumers affected by high energy prices.

The AEE says that renewable energy, especially wind power, is the best way to keep prices down in Spain. It's one of the leaders in Europe in the use of eolic electricity.

It said that "proposing new taxes on electricity creates legal uncertainty and discourages investors at a time where it is more important than ever to invest into technologies like wind power as a replacement for fossil fuels imported from abroad."

AEE is made up of more than 350 members, including Iberdrola and?Endesa as well as Acciona from Portugal, developers, wind turbine manufacturers as well as financial advisors, insurers, consultants, and other stakeholders. (Reporting and editing by Andrei Khalip, Ros Russell, and Emma Pinedo)

(source: Reuters)