Spain to Restore Electricity Tax While Extending Fuel Price Relief

Spain has announced adjustments to its energy tax measures in response to fluctuating global prices driven by Middle East tensions. While VAT on electricity and natural gas will return to its original 21% on June 1st due to price stabilization, the government will maintain a preferential 10% VAT rate for gasoline and diesel. Economy Minister Carlos Cuerpo emphasized that the decrease in electricity costs validates Spain's energy transition strategy, reinforcing the government's commitment to further electrification and renewable energy development.