Paris, Leipzig 21/05/2013 – In light of increasingly sophisticated VAT fraud activities in the energy trading sector, the energy exchanges EEX, EPEX SPOT and Powernext call upon the heads of state and government to support the tabled Anti-VAT Fraud Package at tomorrow’s European Council. The legislative proposal was worked out by the European Commission and contains several anti-fraud measures at European level. If adopted, it would provide EU Member States with effective instruments against fraudsters. This especially concerns the possibility for Member States to apply the reverse charge mechanism to specific wholesale markets at national level, including by electricity and gas markets.
Nine European associations from the electricity and gas sector, amongst them the Association of European Energy Exchanges (EUROPEX), have repeatedly shown their support for a legislative solution in the past by publishing a joint statement in December 2011 and by a common press release in March 2013.
VAT fraud causes tax losses of billions of euros every year, and constitutes a real burden for Member States, tax payers and businesses across Europe. The adoption of the tabled Anti-VAT Fraud Package will help remove the vulnerability to fraud faced by various European wholesale markets, including electricity and gas markets.