The coming measure
Economy Minister Giancarlo Giorgetti announced that a measure to combat high energy bills will soon be adopted. During question time in the Senate, he explained that the trend in energy prices and bills is influenced by external speculative dynamics, not only by government intervention. Giorgetti emphasised the importance of reflecting on the significance of the transition to the free market for energy users, pointing out that gas tariffs have risen by 21 per cent compared to last year, leading to an additional annual expenditure of around EUR 309 per household. He warns that further price increases could undermine the recent containment of inflation, which has fallen from peaks of 12% to levels close to 1%.
The tariffs alarm
In parallel, a new concern is emerging: the use of duties as an instrument of trade policy. Until yesterday, Confindustria had harboured hopes for a constructive dialogue between the US and Italy. However, now the alarm is raised, describing the duties as ‘extremely distorting’ and pointing out how, in the Italian case, the deep international economic connections could further aggravate the situation.
The ‘milleproroghe’ decree and the price measures
Meanwhile, the Senate approved the Milleproroghe decree, which now awaits the green light from the House. The measure will include measures affecting price dynamics, and promises to be crucial in containing price increases in the energy sector, thus protecting families and businesses.
Defence of government measures
The minister defended the measures already taken, highlighting the effort to increase households’ purchasing power through the tax and contribution wedge. He responded to criticism from former Prime Minister Matteo Renzi, who had questioned the effectiveness of the government’s actions. In addition, there is a burden on companies, which are forced to comply with the obligation to take out insurance contracts for catastrophic risks, expiring on 31 March 2025. The extension of the two-year arrangement has been cancelled: the Senate’s Constitutional Affairs Committee approved an amendment that reopens the ‘rottamazione quater’ only for those who have not paid or have paid an instalment late, leading to the forfeiture of the benefit.
Conclusions and future prospects
To summarise, the government is preparing to take action against high bills, while trade tariff tensions are becoming more and more evident. If there are further developments, particularly with regard to tariff measures, we will discuss these in detail in future updates on our blog.
FGN Consulting will closely follow these developments to provide in-depth analysis and targeted strategies in the financial and economic world.
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