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Our priorities are very clear: the top priority for climate neutrality is gradually reducing subsidies for fossil fuels, especially heating. The second element is the gradual introduction of a CO2 component in taxes, which should lead to a reduction in CO2 emissions. And the third thing that we would also support is the gradual elimination of the VAT exemption for heating.
This would encourage and enable support for home renovation. The process has started, it is important that it does not calm down and that the wave of renewal in Lithuania continues, ”said Inesis Kiškis, director of the European Union (EU) Support Administration of the Ministry of the Environment.
He also pointed to the need for a review of the car tax.
“Now we have a car tax that has been in effect since July 1 of last year. It raises a certain amount of money, but really the goal was not to raise extra money for the state budget, but to change the behavior of the companies. people to choose less polluting vehicles “We are working to make this tax more effective and conducive to changing people’s behavior when choosing another vehicle,” he said.
I. Kiškis stressed that subsidies are only a temporary measure of support to a specific sector of the economy, which is no longer effective in the long term.
“I have to admit that subsidies are a good thing when you want to help move someone away from the point of death. But the more subsidies are used, the more they harm the recipient of the subsidy, they do not encourage the search for innovation, more efficient solutions, ”he emphasized.
“I am glad that this government is taking such a decisive approach towards eliminating subsidies, not categorically, but gradually. (…) This does not mean that we are abandoning incentive subsidies. The point is to find a balance between the elements of incentives and obligations, so that the transition (to the green economy – ELTA) is as painless as possible, but it cannot be completely painless, ”added I. Kiškis.
For his part, the director of the Chamber of Agriculture Sigitas Dimaitis stressed that the waiver of profits used in agriculture would be worth considering very carefully, taking into account the EU context.
“I would like to point out that agriculture is often identified as a beneficiary. (…) However, it is probably not a coincidence that the EU has a separate agricultural policy. Lithuania is no exception when it comes to benefits that agriculture enjoys. Therefore, when evaluating agriculture, all these agricultural benefits should be reviewed and evaluated in a very responsible way at farm, country and EU level, because in practically all countries of the EU one or another of the discounts and benefits are valid in agriculture ”, said said.
“When making any decision, you have to make a very accurate and good analysis of how the agricultural products will look competitive in the export market,” added S. Dimaitis.
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