Press Release: Excise duties: Commission refers Germany and Greece to Court of Justice

On 13.7.00 the European Commission decided to refer Germany and Greece to the Court of Justice for failure to respect Community law concerning excise duties. In the case of Germany, the problem concerns an exemption from excise duty for certain mineral oil used for heating. The Commission considers the exemption to be incompatible with the relevant EU Directive which, in principle, requires excise duty to be levied on all mineral oils used for heating purposes (or motor fuel). The problem in Greece concerns a reduced rate of excise duty applied to alcohol used in the manufacture of 'ouzo', which the Commission considers to discriminate against spirits produced in other Member States.