The European Commission announced on 26 November 2019 that it has referred Poland to the Court of Justice of the European Union (CJEU) for allowing energy-intensive businesses to be exempt from excise tax on coal and gas.
As explained in the EC release, Polish law allows certain energy products—coal and gas—used by energy-intensive businesses that fall under the European emission trading scheme to be exempt from excise tax. EU energy tax rules require businesses that benefit from such exemptions to have environmental or energy efficiency improvements. However, the law in Poland does not require this level of energy efficiency.
The EC’s decision to refer the matter to the CJEU comes after Poland failed to bring its legislation into line with EU law following a “reasoned opinion.”
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