Temporary gas and electricity tax reduction & enhanced vulnerable consumer protection

The Spanish government implemented tax reductions on electricity and gas from October 2021, in order to lessen the impacts of the global energy crisis on domestic consumers.
The combined tax reductions, which were lessened in the fall 2022, initially represented an overall 80 % decrease in electricity taxes (from VAT, electricity generation tax, and special tax on electricity reduction), and a 16% decrease in VAT on gas. 
The measure is notably financed by an ad hoc levy on energy company windfall profits. 

In addition, a "vital minimum supply" obligation was enacted from September 2021, ensuring vulnerable households unable to pay their electricity bills would still get supplied at a minimum contractual arrangements during 10 months.

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