Gas Costs in Increasing Electricity Prices in Europe Is Only Half the Story. Taxing Windfall Profits Better Than Regulatory Changes in a Rush

Some corporations would profit from the current crisis while everyone else suffers. Moreover, the government will be spending trillions on saving the economy. Naturally, this spending would benefit the winners since they spent on their services. One reason for these extraordinary profits is not enough competition. Another could be an outdated market design. However, the deep shock produced by the weaponisation of gas by the Russian government in the preparation and development of the Ukraine invasion has the most significant part of it. While public powers think about which steps to take to improve the market design and the competition within it, a tax on the extraordinary profits that some companies are earning is a way to fairly distribute the effects of the crisis and buy time for a wiser and proper updating of the regulatory framework