A proposal for a windfall tax on energy companies was on the agenda during a meeting of European Union finance ministers on Friday. 

With petrol and gas prices up near record highs, fueled by the war in Iran and shipping disruptions in the Strait of Hormuz, a number of European Union members have floated the proposal.

The idea was tabled in August and is back on the agenda for lawmakers following the summer break. At the gathering in Dublin, Ireland, Germany’s finance minister, Lars Klingbeil called on the EU to explore avenues to tax what he described as excessive profits generated by oil companies at this time. 

“People can see how oil companies are exploiting the situation, overcharging and significantly increasing their profits,” he said, calling for proposals to be presented at the next gathering of finance ministers in October. 

But the EU’s economic commissioner, Valdis Dombrovskis has poured cold water on this stating that the commission has no plans to act “at this stage.” Dombrovskis has maintained that this issue relating to taxation should be tackled at the member state level. 

Members of the Eurogroup also convened Friday to discuss recent economic developments as well as productivity and growth within the eurozone. 

“Our objective must be to protect citizens when conditions become more difficult, without creating new burdens for the future. To act early and effectively while preserving the stability of our economies. To protect today, without mortgaging tomorrow,” said Kyriakos Pierrakakis, President of the Eurogroup.

The European Central Bank President, Christine Lagarde, also announced Friday that legislation relating to the digital euro could be finished by the end of the year. 

Addressing an informal meeting of the Economic and Financial Affairs Council (ECOFIN) in Dublin the ECB chief said the pilot project, known as “Pontes,” could begin by mid-2027. 

Ireland’s Finance Minister Simon Harris says this is something that can sound technocratic for people but is becoming a part of everyday life with the power to facilitate new markets and reduce friction when it comes to cross-border payments.

He adds that this is no longer a fringe issue, saying that it has the power to be disruptive but positive.