Iran War: G7 urged to impose windfall tax on oil, gas companies

The climate advocacy group 350.org has called on G7 countries to impose a windfall tax on companies that benefit from rising oil and gas prices amid the ongoing war in Iran.
The group made the call in a statement on Tuesday after G7 finance ministers said they were studying “necessary measures” to address the war’s economic impacts on affected territories, including the release of emergency oil reserves.
In reference to the aim of the taxing demand, 350.org said it would help ease the prices of oil and gas in a war-affected environment.
”In 2022, the UK government imposed a 25 per cent levy on carbon majors to help ease the prices of oil and gas following a surge driven by the Ukraine war, raising £3.6 billion in two years.
”Such revenues from a windfall tax can be used as an immediate buffer to protect families from price surges, as well as fund long-term, homegrown renewable energy solutions,” the group said.
Fanny Petibon, France country manager for 350.org, said that releasing strategic reserves alone would not resolve the underlying issues of price increases in countries affected by war.
Ms Petibon noted that if “G7 countries are serious about stabilising the market, they need to stop protecting profits and start taxing companies which fuel the climate crisis.
”Working people shouldn’t be paying the price while oil majors treat the war in the Middle East like a winning lottery ticket.
”We need the G7 to step up and establish a windfall tax now to put those profits back into the pockets of the people,” she said.
Clemence Dubois, 350.org‘s global campaign manager, said the current crisis highlighted a structural weakness in the global energy system.
”Wars expose a deep flaw in our energy system: when prices spike, fossil fuel companies stand ready to cash in while households and businesses struggle,” Ms Dubois said.
She criticised policies that reduce fossil fuel taxes during crises, arguing they effectively subsidise companies already making excess profits.
She added, “The right response is a strong windfall tax, which should be redirected to support households and accelerate the transition to clean energy.”
The group’s Japan campaigner, Masayoshi Iyoda, said most of Japan’s oil imports pass through the Strait of Hormuz, making Japan acutely exposed to fossil fuel price shocks.
It urged Japanese Prime Minister Sanae Takashi to reconsider her alignment with the Trump administration’s fossil fuel agenda, noting that the attack on Iran has shown the agenda means prosperity for oil and gas corporations.
”When PM Takaichi meets U.S. President Trump next week, we urge her to reconsider Japan’s alignment with the Trump administration’s fossil fuel agenda.
“The attack on Iran has shown, once again, how that agenda means prosperity for oil and gas corporations and higher bills for everyone else.
”Accelerating a just transition to renewable energy and phasing out fossil fuels is Japan’s best option to secure affordable and sustainable energy based on democracy and peace,” the group said.
We have recently deactivated our website's comment provider in favour of other channels of distribution and commentary. We encourage you to join the conversation on our stories via our Facebook, Twitter and other social media pages.
More from Peoples Gazette

Agriculture
FG tasks ECOWAS on leveraging financing strategies for agroecology
The federal government has urged stakeholders in the agriculture and finance sectors in the West Africa region to leverage financing strategies to enhance agroecology practices

Politics
Katsina youths pledge to deliver over 2 million votes to Atiku
“Katsina State is Atiku’s political base because it is his second home.”

Economy
Middle East War: Tinubu govt pledges to safeguard Nigeria’s economic stability
Mr Edun also chaired a naira-for-crude policy coordination meeting to review energy market developments and their domestic implications.

Rights
Two-thirds of children say cyberbullying has increased: UN Report
The report highlights “alarming trends” and “the urgent need for the entire online ecosystem to act faster and together to protect children”.

Rights
Tinubu approves employment of 50 doctors, 100 nurses for prisons
“The president understands that he is the president of all Nigerians, including those inmates. As father to all, he has always shown that he cares,” the minister said.

Economy
Plateau, BOI sign N4 billion MOU to strengthen MSMEs
The MoU was signed on Tuesday evening at the Government House, Jos.

Economy
Alleged Obaseki Fraud: Edo assembly approves total takeover of MOWAA, Radisson Blu
The Edo House of Assembly says the probe into the Museum of West African Arts and the Radisson Blu Hotel is not meant to victimise former Governor Godwin Obaseki.

Economy
NNPC secures presidential approval for $20 billion FID Bonga Deepwater project
The project is estimated to attract about $20 billion in foreign direct investment and position Nigeria for a new era of deepwater production.





