Europex feedback to Commission 2020 roadmap to fight money laundering and terrorism financing

Brussels, 11 March 2020 | Europex, the Association of European Energy Exchanges, welcomes the Commission’s initiative to review the effectiveness of the existing framework to fight money laundering and financing terrorism. The roadmap sets out important policy objectives  which are also relevant for keeping electricity, gas and emissions trading safe and free of fraudsters who in the past had been associated with money laundering and terrorism financing. In order to continue deterring such behaviour in the future, we would like to use this opportunity to recall the importance of extending the derogation of the domestic reverse charge mechanism (DRCM) for
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Categories: Consultation Responses.

Tackling VAT fraud: Europex welcomes the extension of the domestic reverse charge mechanism for electricity, gas and emissions trading

Brussels, 2 October 2018 | Europex welcomes today’s ECOFIN Council decision to extend the derogation in Article 199a of the VAT Directive which allows Member States to apply the domestic reverse charge mechanism (DRCM) to transactions in electricity, gas and emission allowances until 30 June 2022. The domestic reverse charge mechanism is a vital tool to help prevent missing trader intra- community fraud in highly liquid energy and emissions markets in Europe. The extension, as set out in the Commission’s legislative proposal of 25 May 20181, ensures that Member States can continue to apply the domestic reverse charge mechanism in
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Categories: Press Releases.

Common energy sector statement – Keeping EU energy and emissions markets protected from VAT fraud beyond 2018

Urgent need to confirm the extension of the derogation for a domestic reverse charge mechanism for electricity, gas and emission allowances in Art. 199a of the VAT Directive Brussels, 4 September 2018 | Missing Trader Intra-Community Value Added Tax fraud remains a persistent threat to the integrity and well-functioning of electricity, gas and emission allowance markets in Europe. Billions of euros had been defrauded from European Exchequers before the Council of the EU decided on the introduction of a derogation from the VAT Directive for electricity, gas and emission allowance transactions. The derogation enables Member States to apply the Domestic
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Categories: Position Papers.

VAT fraud – A persisting threat to gas, electricity and emissions trading. Need for a prolongation of existing derogation and an extension to all Member States

Brussels, 31 May 2017 | The VAT fraud in energy and emissions trading continues to pose a serious threat to European Exchequers and energy and emissions markets alike. The existing preventive mechanisms, like the derogations enabling Member States to implement a domestic reverse charge mechanism on gas, electricity and emissions transactions between taxable persons and taxable dealers as resellers, need to be continued and further extended. Active action must be taken by the European Commission, the Council of the EU and the relevant bodies at Member State level to protect energy and emissions trading from a repetition of large scale
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Categories: Consultation Responses.