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Ribera acknowledges that lowering VAT on electricity does not solve the problem.

Two days after Pedro Sanchez, President of the Government announced that he would approve, in the new anti-crisis Royal Decree, a new 10% to 5% reduction in the VAT on electricity to try and alleviate a little the electricity bill that continues fire, Teresa Ribera, third vice president, minister for the Ecological Transition, and the Demographic Challenge made an amendment to the measure.

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Ribera acknowledges that lowering VAT on electricity does not solve the problem.

Two days after Pedro Sanchez, President of the Government announced that he would approve, in the new anti-crisis Royal Decree, a new 10% to 5% reduction in the VAT on electricity to try and alleviate a little the electricity bill that continues fire, Teresa Ribera, third vice president, minister for the Ecological Transition, and the Demographic Challenge made an amendment to the measure. She acknowledged that tax cuts do not solve the problem.

Another confession made by the minister at the New Economy Forum breakfast was that tensions in prices will continue to rise over time. She stayed away from immediate measures such as tax cuts, and instead opted for "speed up important changes of great importance", such as changes in the energy market or continued promotion of renewable energies.

Ribera did not give any clues about the new measures that would be included in Saturday’s anti-crisis order, but he did say that they would be the ones that are most relevant to accompany families. She also said that they are trying to make the deployment as flexible and broad as possible, while still respecting socioeconomic and environmental issues. The vice president said that they would be extra careful and do everything possible to reduce the high cost of electricity.

Ribera was more enthusiastic than the VAT reduction on electricity for the gas cap that just came into effect. However, it has not been able curb high prices at the moment. He insisted on praising the measure, which he considered "extremely favorable" and attributed its poor results to the "difficult situation", which was characterized by a heatwave that has not been experienced since the early 1980s. He hopes that this will lead to more price reductions.

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