Slovakia to Drop Tax in Return for Fixed Electricity Price

Slovakia has agreed to drop plans to impose a 50% tax on profits from the sale of nuclear energy in exchange for a fixed electricity price, under a memorandum of understanding signed Wednesday.

Under the agreement between the Slovak ministries of finance and economy, and Slovak Power Holding, B.V., Slovakia’s households will be guaranteed an electricity price of 61.21 euro ($69.65) per megwatthour through 2024.

In return, Slovakia won’t impose the windfall tax—or any other such tax—which it had previously justified by nuclear energy producers excessively profiting from soaring global prices. In addition, it will support a speedy completion ...