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An EU-wide Nuclear Power Tax: Rationale and Possible Effects

Author

Listed:
  • Fanny Dellinger

    (University of Vienna, Austria,)

  • Margit Schratzenstaller

    (Austrian Institute of Economic Research, Austria)

Abstract

Nuclear power plays an important role in Europe's energy mix today. Considering the manifold environmental and health hazards related to all phases of nuclear power production, which may cause considerable negative externalities, it is remarkable that the whole issue of using taxes as instruments to internalise the externalities associated with nuclear power is completely neglected in the literature. The paper provides a rationale for taxing nuclear power which is based on an analysis of its social costs and of potential windfall profits for the nuclear industry generated by EU policies. After giving an overview over existing nuclear taxes in the nuclear power generating EU Member States, we elaborate the case for channeling revenues from a nuclear power tax into the EU budget as sustainability-oriented tax-based own resource. We also estimate the potential revenues from an EU-wide nuclear power tax.

Suggested Citation

  • Fanny Dellinger & Margit Schratzenstaller, 2018. "An EU-wide Nuclear Power Tax: Rationale and Possible Effects," International Journal of Energy Economics and Policy, Econjournals, vol. 8(6), pages 346-353.
    • Handle: RePEc:eco:journ2:2018-06-41
    as

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    References listed on IDEAS

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    Cited by:

    1. Margit Schratzenstaller-Altzinger & Alexander Krenek, 2019. "Tax-based Own Resources to Finance the EU Budget. Potential Revenues, Summary Evaluation from a Sustainability Perspective, and Implementation Aspects," WIFO Working Papers 581, WIFO.

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    More about this item

    Keywords

    nuclear power tax; sustainability-oriented taxation; EU system of own resources;
    All these keywords.

    JEL classification:

    • H23 - Public Economics - - Taxation, Subsidies, and Revenue - - - Externalities; Redistributive Effects; Environmental Taxes and Subsidies
    • H87 - Public Economics - - Miscellaneous Issues - - - International Fiscal Issues; International Public Goods
    • Q58 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Government Policy

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