Draft law amending the Alcohol, Tobacco, Fuel and Electricity Excise Tax Act and other laws (510 SE) – first reading
Session: 15th Estonian Parliament, 4th session, plenary session
Date: 2024-10-15 15:02
Total Speeches: 122
Membership: 15
Agenda Duration: 1h 58m
AI Summaries: 122/122 Speeches (100.0%)
Analysis: Structured Analysis
Politicians Speaking Time
Politicians
Analysis
Summary
The presented bill 510 includes amendments to excise taxes on alcohol, tobacco, fuel, and electricity, as well as related laws. In the first reading, it is planned to increase excise rates on alcohol, tobacco, and gasoline (both leaded and unleaded fuels) by a total of 5% over the next four years, while no increase in diesel excise is planned (diesel regulation will remain in effect). The linguistic mechanism is aimed at limiting consumption of goods with harmful side effects, and the tax revenue collected as excise duties will be directed both budgetarily and to limit vices. In addition, the relationship between gambling tax and the funding of the Cultural Capital will change: to increase the target capital of the Cultural Capital, the proportion of gambling tax allocated to cultural construction will be reduced and county cultural and sports support will be increased. According to forecasts, the bill will generate an additional 179 million euros in excise and VAT revenue over five years, with the main sources of revenue being tobacco, gasoline, and alcohol. The application impact of the bill must be confirmed in the subsequent discussion, as well as specifying the distribution of application cases and the risk of cross-border trade. Another topic is the course of procedure: the Finance Committee prepared the groundwork and presented the agenda and decisions to conclude the first reading, following which a question-and-answer session and discussion between factions took place. Overall, the consideration of the bill is polarizing and generates strong political attention regarding consumption, inflation, and infrastructure funding.
Decisions Made 3
It is proposed to add draft law on excise duties on alcohol, tobacco, fuel, and electricity to the agenda of the 510 plenary session for October 15th, and to proceed with the registration of the first reading procedure according to the applicable rules of procedure.
The first reading is to be completed and Tanel Kiik is to be appointed as the lead representative to the finance committee (the composition involved in drafting the collective decision expresses itself unanimously).
To recommend to the finance committee the proposal for initial discussion, then to confirm the agenda for October 15th, and to designate the continuation of the procedure according to the protocol as the next step.
Most Active Speaker
Lauri Laats (Estonian Centre Party) was the most active speaker among those presenting, demanding attention with the number of his presentations and actively participating in debates as a representative of his faction. Position: Centre Party member (member of the Centre Party faction). As a participant who rose to the center of attention, he demonstrated a strong interest in the draft's social and regional impacts, as well as issues of economic behaviour.
Aseesimees Arvo Aller
AI Summary
Under the third item on Tuesday's agenda, Bill 510, which amends the Alcohol, Tobacco, Fuel, and Electricity Excise Duty Act and other related legislation, will be discussed. The rapporteur for its first reading is Finance Minister Jürgen Ligi.
Rahandusminister Jürgen Ligi
AI Summary
Finance Minister Jürgen Ligi said that while the tax curve (or "tax hump") is a bad thing, taxing vices is necessary. The draft bill will raise the excise duty rates on alcohol, tobacco, and petrol over a four-year period, bringing in a total of about 179 million euros in excise and VAT revenue over five years. It will not affect the excise duty on diesel fuel. A portion of the gambling tax will be directed to the Cultural Endowment, and the legislation is scheduled to enter into force on July 1, 2025.
Aseesimees Arvo Aller
AI Summary
Deputy Chairman Arvo Aller said there were questions and asked Aleksandr Tšaplõgin to take the floor.
Aleksandr Tšaplõgin
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmedAI Summary
He notes that scientists consider the raising of excise duties dangerous because increasing the excise tax on electricity and fuel lowers the standard of living and results in losses for businesses, and he asks the minister for a comment on the matter.
Rahandusminister Jürgen Ligi
AI Summary
Finance Minister Jürgen Ligi claims that the impact of the rise in alcohol excise duty on final prices and consumption costs is marginal (up to 0.0 percent), inflation is modest, and the benefits for health and the environment are greater, and he criticizes the opposition's dramatic claims.
Aseesimees Arvo Aller
AI Summary
Lauri Laats is called to the stage.
Lauri Laats
Profiling Eesti Keskerakonna fraktsioonAI Summary
Lauri Laats raises the question of how the gradual increase in the gasoline excise tax and the future car tax will affect households—which account for 74.9% of total gasoline consumption—and especially car owners whose vehicles are used mainly for daily activities.
Rahandusminister Jürgen Ligi
AI Summary
Finance Minister Jürgen Ligi stated that the primary purpose of excise taxes is to limit the consumption of harmful goods and collect revenue, but their effect on inflation has been assessed very differently—Statistics Estonia has previously estimated the impact to exceed 1%, while the Bank of Estonia puts it at only about 0.2%. Furthermore, consumer behavior significantly affects the magnitude of the tax burden, although this effect is more complex and time-consuming to measure in the case of cars and fuels, but remains achievable.
Aseesimees Arvo Aller
AI Summary
The Deputy Speaker addresses Evelin Poolamets and asks her to take the floor.
Evelin Poolamets
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmedAI Summary
Evelin Poolamets asks the minister whether the purpose of raising excise duties is to reduce consumption, and whether increasing electricity and fuel excise duties signals the beginning of the end for the market economy, as suggested by Lauri Läänemets.
Rahandusminister Jürgen Ligi
AI Summary
Finance Minister Jürgen Ligi stated that the foundation of the market economy is supply and demand, but limiting the rapid growth of consumption and the transition from fossil energy sources to renewable energy—which is why gasoline is taxed—are the main priorities.
Aseesimees Arvo Aller
AI Summary
Deputy Speaker Arvo Aller calls on Mart Helme to speak.
Mart Helme
Profiling Eesti Konservatiivse Rahvaerakonna fraktsioonAI Summary
Mart Helme is criticizing the government, stating that consumption poses a threat to the planet and that the revenue from fuel excise taxes is not being allocated to road construction or maintenance. He is demanding an honest answer regarding where that money actually goes.
Rahandusminister Jürgen Ligi
AI Summary
Emphasizing that the future of the world depends on all of us, and although the progress of climate action is slow, responsible behavior is becoming increasingly widespread. Furthermore, while Estonia is part of the European community, our footprint is larger than that of most of the world.
Aseesimees Arvo Aller
AI Summary
Next up is Lauri Laats.
Rahandusminister Jürgen Ligi
AI Summary
Ligi asks the Chairman to inform the Riigikogu member of the keyword he was ultimately supposed to respond to, noting that the introduction to the question was intriguing, and requesting that the question be repeated.
Aseesimees Arvo Aller
AI Summary
Deputy Chairman Arvo Aller briefly gives the floor to Mart.
Rahandusminister Jürgen Ligi
AI Summary
It was a short thank-you message that just said "yes" and "thank you."
Mart Helme
Profiling Eesti Konservatiivse Rahvaerakonna fraktsioonAI Summary
He asks where the money is being directed if it isn't going into road construction.
Rahandusminister Jürgen Ligi
AI Summary
Minister of Finance Jürgen Ligi apologizes.
Mart Helme
Profiling Eesti Konservatiivse Rahvaerakonna fraktsioonAI Summary
Mart Helme claims that the money collected from excise duties isn't even enough for road maintenance, and he asks what that money is actually intended for.
Rahandusminister Jürgen Ligi
AI Summary
Finance Minister Jürgen Ligi confirms that it is understandable.
Mart Helme
Profiling Eesti Konservatiivse Rahvaerakonna fraktsioonAI Summary
The talk focuses on the question of where the money goes.
Rahandusminister Jürgen Ligi
AI Summary
Finance Minister Jürgen Ligi stresses that the 20-year-old claim that excise revenue must necessarily be spent on roads is erroneous, and the mandate requiring 75% of it to go toward roads has been abolished because it was misleading. Furthermore, the European Union does not favor separate road funding, but instead seeks to make transport more economical and sustainable.
Aseesimees Arvo Aller
AI Summary
Vice-Chairman Arvo Aller addresses Lauri Laats and asks him.
Lauri Laats
Profiling Eesti Keskerakonna fraktsioonAI Summary
Lauri Laats asked the minister whether the purpose of the law is restricting consumption or, as stated in the explanatory memorandum, increasing excise revenue through the excise duty hikes on alcohol, tobacco products, and gasoline, while also pointing out that the gasoline excise duty and the car tax coming into effect next year will make it harder for households to cope.
Rahandusminister Jürgen Ligi
AI Summary
Finance Minister Jürgen Ligi stated that excise duties serve two primary purposes: restricting the consumption of harmful goods and collecting budget revenue from the consumption of vices. He referenced the general principle that alcohol, energy, and tobacco consumption should be reduced, and renewable energy should be used instead of fossil fuels. He added that he does not take responsibility for every sentence in the explanatory memorandum, noting that he has either removed or requested amendments to some sentences, while simultaneously stressing that, given the current tight schedule, the draft bill is extremely important to him regarding budgetary matters.
Aseesimees Arvo Aller
AI Summary
Vice-Chairman Arvo Aller makes a short request to Rene Kokk.
AI Summary
Rene Kokk stated that the diesel excise duty increase was already implemented last year, and the excise duty hikes intended to reduce consumption are ineffective because consumption is shifting towards neighboring countries, resulting in lost tax revenue for the state. He added that the ministry should conduct an analysis to determine why the situation is not so simple.
Rahandusminister Jürgen Ligi
AI Summary
Finance Minister Jürgen Ligi stated that the current government has not raised the diesel excise duty. He added that the change to the diesel excise duty was implemented by the previous EKREIKE government, which was one of the foolish and costly decisions made during the COVID crisis and certainly did not lead to any increase in prosperity.
Aseesimees Arvo Aller
AI Summary
Unfortunately, the content of the speech was not provided—only the names (Deputy Speaker Arvo Aller and Anastassia Kovalenko-Kõlvart)—so a one-sentence summary cannot be compiled.
Anastassia Kovalenko-Kõlvart
Profiling Eesti Keskerakonna fraktsioonAI Summary
The presentation pointed out that car owners face multiple taxation—fuel excise duty, car tax, and the rising cost of car-related services and spare parts due to the increase in VAT—and a question was raised regarding how the fuel excise duty forecast was calculated, because revenue might drop if people give up their cars and logistics companies go bankrupt, and the plan's side effect of limiting fuel purchases was emphasized.
Rahandusminister Jürgen Ligi
AI Summary
Finance Minister Jürgen Ligi emphasized that restricting the consumption of fuels and energy is necessary, and the goal of the excise duties is to reduce harmful side effects and the burden on nature, taking into account Estonia's greater purchasing power compared to Latvia.
Aseesimees Arvo Aller
AI Summary
The Deputy Speaker invites Kert Kingo to the stage.
Kert Kingo
AI Summary
Kert Kingo asks how the raising of excise duties, the purpose of which is to restrict consumption, can simultaneously guarantee revenue flowing into the state budget if consumption decreases and the purchasing of goods and services declines.
Rahandusminister Jürgen Ligi
AI Summary
Finance Minister Jürgen Ligi said that raising taxes combined with restricting consumption will, according to forecasts, still yield higher budget revenues, and the money that is not directed toward roads due to the gasoline excise tax will be allocated to education, healthcare, culture, national defense, and pensions.
Aseesimees Arvo Aller
AI Summary
Deputy Chairman Arvo Aller called Anti Poolamets to speak.
Anti Poolamets
Profiling Eesti Konservatiivse Rahvaerakonna fraktsioonAI Summary
Anti Poolamets emphasized the importance of energy conservation and stated that households must also work harder to protect the climate. He then asked what additional saving opportunities a typical household could consider besides energy efficiency.
Rahandusminister Jürgen Ligi
AI Summary
State policy guides both households and businesses toward more sustainable behavior, focusing on energy efficiency in homes and the reduction of CO2 emissions, and demonstrating that most households can achieve significant savings by limiting heating and carefully choosing and restricting their energy sources and consumption, savings which, starting in the billions of euros, could eventually grow into trillions for the benefit of people and nature.
Aseesimees Arvo Aller
AI Summary
Deputy Chairman Arvo Aller calls Kalle Grünthal to speak.
Kalle Grünthal
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmedAI Summary
Grünthal accuses Jürgen Ligi of increasing the tax burden, recalling Ligi's previous promises not to raise taxes and the Reform Party's pledge to protect people's incomes. He then asks rhetorically whether Ligi was a fool in his youth or if he is a fool now.
Rahandusminister Jürgen Ligi
AI Summary
Finance Minister Jürgen Ligi stated that tax increases are unavoidable for keeping the country's finances in order and compensating for the growing security costs resulting from the war. However, taxation must be proportional, and taking into account the dampening effect it has on economic growth, the deficit must be reduced and the Maastricht criteria must be met.
Aseesimees Arvo Aller
AI Summary
Deputy Speaker Arvo Aller called upon Priit Sibul to come and speak.
Priit Sibul
Profiling Isamaa fraktsioonAI Summary
Priit Sibul posed a question concerning the alcohol excise duty: whether the goal of harm reduction will result in increased tax revenue, noting the previous tax increase that shifted trade to Latvia, and asking how the minister evaluates the effect on tax revenue of the scale of changes in consumption observed in the Finnish border area of the northern coast.
Rahandusminister Jürgen Ligi
AI Summary
Finance Minister Jürgen Ligi stated that independent forecasters have taken into account the impact of both Finnish consumption and cross-border trade. He noted that although the Latvian experience showed that changing the excise duty on low-alcohol beverages increased border trade, today's inflation and the price difference with Latvia is only about 30%. Due to this 8-fold difference, the incentive for cross-border trade is smaller, and the forecasts are not concerned about this phenomenon.
Aseesimees Arvo Aller
AI Summary
Vice-Chairman Arvo Aller invited Rene Kokk to speak.
AI Summary
Rene Kokk expresses concern over the impact of excise tax increases on trade and the development of cross-border commerce, and asks the Ministry of Finance whether an analysis of previous experiences has been carried out and what it would mean if raising taxes were to drive merchants out of the country.
Rahandusminister Jürgen Ligi
AI Summary
Finance Minister Jürgen Ligi said that the risk of border trade is very low, the excise duty increase does not reduce budget expenditures but increases revenues and affects consumption mainly through the purchasing power of alcohol, tobacco, and fossil fuels, and although economic growth increases the state's expenditures and expectations, Estonia is moving increasingly towards renewable energy.
Aseesimees Arvo Aller
AI Summary
Deputy Chairman Arvo Aller invited Rain Epler to speak.
Rain Epler
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmedAI Summary
Rain Epler asked the minister whether driving a car is harmful, and discussed the impact of the alcohol excise duty on the budget, highlighting in the explanatory memorandum the negative impact expected in 2028, along with figures showing minus 12 million for the next year, plus 22 million for the year after next, and then minus 8 million euros.
Rahandusminister Jürgen Ligi
AI Summary
The Minister of Finance is asking what the numbers are and what things are negative.
Rain Epler
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmedAI Summary
Rain Epler analyzes the impact of the alcohol excise duty on the budget.
Rahandusminister Jürgen Ligi
AI Summary
The speech only contained the word "Okay."
Rain Epler
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmedAI Summary
The speech details the projected financial impact for 2025–2028 (–12, +22, +8, and –8 million euros). It also mentions the issue of alcohol inventories in the explanatory memorandum and emphasizes the need to communicate this clearly and simply.
Rahandusminister Jürgen Ligi
AI Summary
Finance Minister Jürgen Ligi said that the acquisition of reserves creates moments of decline, and tax revenues have decreased because of this. Furthermore, although the opinions of alcohol producers, analysts, and companies regarding the impact of the excise duty increase and the benefit of the stocks were collectively overly optimistic, the alcohol consumption of Estonians has currently fallen temporarily.
Aseesimees Arvo Aller
AI Summary
Vice-Chairman Arvo Aller asks Mart Maastik to come.
Mart Maastik
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmedAI Summary
Maastik asks the minister how raising the excise duties on alcohol, tobacco, and fuel is supposed to change consumption habits when many families in Saaremaa lack access to public transport, and how this affects their ability to organize school, extracurricular activities, and daily travel.
Rahandusminister Jürgen Ligi
AI Summary
He emphasizes the necessity of taking responsibility for preserving nature and the need to balance economic and social consequences: saving nature requires reducing consumption and implementing measures such as public transport subsidies and renewable energy production, but the ultimate solution has not yet been reached, and some financial hardship is unavoidable.
Aseesimees Arvo Aller
AI Summary
Vice-Chairman Arvo Aller invites Priit Sibul to take the floor.
Priit Sibul
Profiling Isamaa fraktsioonAI Summary
He is asking the minister whether various options for taxing alcohol excise duties were proposed, and whether these could be implemented under a principle of unified taxation or separately, depending on whether the alcohol's production or type is linked to Estonia. This is asked while considering that taxation is handled differently in other countries, and he wants to know if such choices have been thoroughly considered, and whether either of these sectors could bring added value to Estonia.
Rahandusminister Jürgen Ligi
AI Summary
Finance Minister Jürgen Ligi said that goods in the European Union must not be taxed based on their country of origin, and the objective is to have an internal market that is as barrier-free as possible, regardless of the differing alcohol excise practices and public health considerations of member states.
Aseesimees Arvo Aller
AI Summary
Please welcome Andres Metsoja to the stage.
Andres Metsoja
Profiling Isamaa fraktsioonAI Summary
Andres Metsoja raised the question in his presentation of whether the economic impact of excise duties on alcohol and driving has been thoroughly assessed, taking into account road funding, the deterioration of rural road conditions, local government budget issues, consumer choices between large and small vehicles, and the potential decline in exports and competitiveness.
Rahandusminister Jürgen Ligi
AI Summary
Finance Minister Jürgen Ligi claims that raising alcohol and tobacco excise taxes is beneficial for health, productivity, and life expectancy, and that the money will go towards worthy causes, not into any politician's pocket.
Aseesimees Arvo Aller
AI Summary
Vice-Chairman Arvo Aller calls Aivar Kokk to the stage.
Aivar Kokk
Profiling Isamaa fraktsioonAI Summary
Aivar Kokk criticizes the tax hikes that make people poorer, recalling that the economy grew for two consecutive years supported by the 2020 supplementary budget. In the context of the RES (State Budget Strategy), he asks what the share of taxes in the fuel price for diesel and gasoline will be in 2028, and what the actual impact on tax policy is.
Aseesimees Arvo Aller
AI Summary
This is a call to action, for now is your time.
Aivar Kokk
Profiling Isamaa fraktsioonAI Summary
Aivar Kokk asks about the taxes on diesel and gasoline.
Rahandusminister Jürgen Ligi
AI Summary
Finance Minister Jürgen Ligi rejects the assertion that excise duties are hindering economic growth, arguing instead that they make transport and energy consumption more sustainable and improve people's health and working capacity. He also indirectly criticizes the 2020 coronavirus restrictions for the economic downturn they caused, and stresses that the fuel excise duty is crucial, noting that Estonia’s vehicle fleet is more environmentally harmful than those of many wealthier European nations.
Aseesimees Arvo Aller
AI Summary
This is a short request to invite Kert Kingo to speak.
Kert Kingo
AI Summary
Kert Kingo criticized the minister's assertion that the rise in excise duties limits consumption, and questioned the basis for the claim that the risk of cross-border trade is very low. She pointed out that officials have failed to study people's previous behavior patterns and requested a field session be held near the Latvian border.
Rahandusminister Jürgen Ligi
AI Summary
Finance Minister Jürgen Ligi compares the 2018 border trade situation to the current excise duty policy, noting an expected 30% gain in excise revenue and a plan to harmonize excise policy with the Latvian minister, while also emphasizing the need to restrict the consumption of vices.
Aseesimees Arvo Aller
AI Summary
The address contains only a request directed at Rain Epler: "Please."
Rain Epler
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmedAI Summary
Rain Epler questions the minister regarding the moral double standard: is the claim that households burden nature credible, given that he himself plans to drive to his summer house, presumably live there, and become our next Minister of Finance.
Rahandusminister Jürgen Ligi
AI Summary
He emphasized limiting personal consumption and car use, and lives a life close to nature with restricted consumption, while simultaneously observing that the majority of corporate production ends up in households.
Aseesimees Arvo Aller
AI Summary
Vice-Chairman Arvo Aller calls upon Andres Metsoja.
Andres Metsoja
Profiling Isamaa fraktsioonAI Summary
He highlights that high input costs, particularly electricity and fuel, are making Estonian businesses uncompetitive, and if production cannot be maintained here, companies will leave Estonia and the national economy will suffer.
Rahandusminister Jürgen Ligi
AI Summary
The answer is no: the causes of rising input prices stem primarily from factors other than the government's environmental policy. While these factors are slowing the economy, nominal growth and purchasing power have remained stable. However, the deflator has pushed real growth into negative territory in recent years. Consequently, we must adapt to these prices, as there are no direct tools available to influence them. Furthermore, excise taxes do not significantly impact production input costs; instead, they improve workforce health and productivity. Finally, global issues concerning vodka and alcohol should not be overstated.
Aseesimees Arvo Aller
AI Summary
Deputy Chairman Arvo Aller invites Mart Helme to speak.
Mart Helme
Profiling Eesti Konservatiivse Rahvaerakonna fraktsioonAI Summary
Mart Helme claims that the opponent's ideological starting point is fascist, and that its goal is to send people to concentration camps, subject them to forced labor, and ration their vital needs—including energy, food, and water, as well as their ecological footprint—and he asks whether raising the alcohol excise tax will lead to a methanol tragedy and the risk of illegal alcohol proliferation.
Rahandusminister Jürgen Ligi
AI Summary
Finance Minister Jürgen Ligi thanks [someone] for condemning fascism, rejects accusations that his party admires the cooperation between Hitler and Stalin, and notes that methanol consumption has decreased in Estonia and the current price increase amounts to only a few cents.
Aseesimees Arvo Aller
AI Summary
The Vice-Chairman asks Tanel Tein to take the floor.
Tanel Tein
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmedAI Summary
He thanks the minister and emphasizes the importance of the message directed at entrepreneurs, and asks whether the ministry has calculated which tax strategy—corporate income tax or raising excise duties—would be more beneficial for the state budget and the economy.
Rahandusminister Jürgen Ligi
AI Summary
Finance Minister Jürgen Ligi noted that although economic growth is welcome, it does not solve the budget's structural deficit, because growth increases people's demand for public goods and social benefits, thereby increasing pressure on taxation.
Aseesimees Arvo Aller
AI Summary
Deputy Chairman Arvo Aller invites Mart Maastik to speak.
Mart Maastik
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmedAI Summary
I would like to ask how you plan to reduce energy consumption via an excise duty hike while simultaneously doubling electricity consumption by 2030, supported by offshore wind farms. This initiative must be covered by the taxpayer due to subsidies and massive infrastructure investments, leading to rising input costs and the loss of business competitiveness. So, where exactly will future economic growth originate?
Rahandusminister Jürgen Ligi
AI Summary
Finance Minister Jürgen Ligi stresses that consumers pay for the benefits they receive in the name of the welfare state, and the government is developing mechanisms for the transition from fossil fuels to renewable energy.
Aseesimees Arvo Aller
AI Summary
This is just a request addressed to Aivar Kokk.
Aivar Kokk
Profiling Isamaa fraktsioonAI Summary
Aivar Kokk points out that fuel prices and taxes impact the entire economy as well as the road network. Furthermore, Estonia must find a way to finance its roads and meet the European Union’s 2030 commitments, as the current taxation system might not generate sufficient funds to cover road costs.
Aseesimees Arvo Aller
AI Summary
The phrase "Your time!" signals that it is now the audience's turn and the moment for them to take action.
Aivar Kokk
Profiling Isamaa fraktsioonAI Summary
Aivar Kokk asks whether the 2+2 roads leading from Tartu and Pärnu to Tallinn have been completed by the specified year.
Rahandusminister Jürgen Ligi
AI Summary
He stated that the draft bill would not create a catastrophe for the consumer, and that indexing excise duties to inflation is a fundamental necessity to ensure their impact on consumption and the budget is preserved, and is also required from the perspective of curbing harmful consumption.
Aseesimees Arvo Aller
AI Summary
We have no further questions. Next, Tanel Kiik, a member of the Finance Committee, will take the floor to provide an overview of the discussion held in the lead committee.
Tanel Kiik
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmedAI Summary
Tanel Kiik provides an overview of the Finance Committee's discussion regarding the excise duty hikes, explaining the timeline for the increases in tobacco, alcohol, and gasoline excise duties, as well as the changes to the allocation of the Cultural Endowment.
Aseesimees Arvo Aller
AI Summary
Deputy Chairman Arvo Aller thanked for the overview, stated that there were no questions, declared the start of the discussions with the factions, and invited Aivar Kokk of the Isamaa faction to speak first.
Aivar Kokk
Profiling Isamaa fraktsioonAI Summary
In his presentation, Aivar Kokk emphasized that the drastic rise in excise duties threatens the Estonian economy and exports, as fuel taxes are increasing while road and railway investments remain insufficient. Regionally, this situation deepens the gap between Tallinn and the rest of Estonia. He also stressed the need to accelerate investments in roads and internet connectivity and to comply with RES and EU requirements by 2030.
Aseesimees Arvo Aller
AI Summary
During the conversation, they ask directly if you want more time.
Aseesimees Arvo Aller
AI Summary
Deputy Chairman Arvo Aller requested three more minutes.
Aivar Kokk
Profiling Isamaa fraktsioonAI Summary
Isamaa member Aivar Kokk states that the road network is fragmented, road signs frequently malfunction, and the constant changing of speed limits makes the situation hazardous. Furthermore, despite increases in the state budget, the scope of projects remains insufficient, meaning the draft bill is extremely poor. It will drive people and businesses into poverty and reduce Estonia’s competitiveness in the European market, which is why Isamaa proposes rejecting the bill during the first reading.
Aseesimees Arvo Aller
AI Summary
Andres Sutt represents the Estonian Reform Party faction and is submitting a request.
Andres Sutt
AI Summary
Andres Sutt emphasizes that the increase in excise duties, alcohol excise duty, and gambling tax is a comprehensive measure aimed at reducing the deficit and state debt, providing businesses and citizens with investment and consumption certainty, and lowering interest costs. Simultaneously, the measure reforms the funding of the Cultural Endowment, increasing its substantive support, and continues infrastructure investments in Rail Baltic and roads, while taking into account the steps taken by neighboring countries in the context of cross-border trade.
Aseesimees Arvo Aller
AI Summary
Deputy Chairman Arvo Aller announced three minutes of added time.
Andres Sutt
AI Summary
Andres Sutt stated that funding for the culture and sports sector would be increased, while the share allocated to construction projects would decrease. He added that Estonia's tax burden would remain at 35.4% of GDP, and there would be no new tax hikes before the next Riigikogu elections. Finally, he urged everyone to support the draft legislation.
Aseesimees Arvo Aller
AI Summary
Deputy Chairman Arvo Aller addresses Lauri Laats on behalf of the Estonian Centre Party faction and makes a request.
Lauri Laats
Profiling Eesti Keskerakonna fraktsioonAI Summary
Lauri Laats claims that the draft bill increases the excise duty on alcohol and tobacco products by 10% and introduces an additional excise duty on gasoline. Furthermore, a car tax will be implemented next year, which disproportionately burdens households living in rural areas and relying on cars, and therefore, he argues, the bill fails to meet the needs of those people.
Aseesimees Arvo Aller
AI Summary
Vice-Chairman Arvo Aller asked for three more minutes to be added.
Lauri Laats
Profiling Eesti Keskerakonna fraktsioonAI Summary
Lauri Laats believes that the draft legislation is primarily a scheme to acquire more money, rather than a measure to restrict consumption. He emphasizes the hypocrisy involved, the lack of an impact assessment, and the unresolved issue of road funding. Consequently, the Estonian Centre Party faction cannot support the bill and is submitting a proposal for its rejection.
Aseesimees Arvo Aller
AI Summary
Thank you. We will wait for that proposal, and Rain Epler represents the EKRE faction.
Rain Epler
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmedAI Summary
Rain Epler criticizes the draft legislation and the government's tax policy, highlighting the contradictions between consumption, budget forecasts, and the funding of the Cultural Endowment. He also recalls the promise that taxes would not rise before the elections, and recommends that the faction reject the bill.
Aseesimees Arvo Aller
AI Summary
Vice-Chairman Arvo Aller thanked the rapporteur, noting that while a minister was present in the chamber, they represented a different portfolio. He then declared the debate closed and directed a question to Lauri Laats regarding the procedure of the sitting.
Lauri Laats
Profiling Eesti Keskerakonna fraktsioonAI Summary
Lauri Laats said that the Estonian Centre Party faction requested a ten-minute break before the vote.
Aseesimees Arvo Aller
AI Summary
The Steering Committee wishes to conclude the first reading of Bill 510, but the parliamentary groups of Isamaa, the Centre Party, and EKRE wish to postpone the first reading of the draft Act on the Amendment of the Alcohol, Tobacco, Fuel, and Electricity Excise Duties Act and other acts.
Lauri Laats
Profiling Eesti Keskerakonna fraktsioonAI Summary
He/She asks if now is the right time to request a ten-minute break before the vote.
Aseesimees Arvo Aller
AI Summary
The address announced a ten-minute break.
Aseesimees Arvo Aller
AI Summary
Lauri Laats raises a procedural question related to the conduct of the session.
Lauri Laats
Profiling Eesti Keskerakonna fraktsioonAI Summary
Lauri Laats criticizes that, at the end of the negotiations, the Minister of Finance was not given the opportunity to defend his position or deliver a closing speech, and the minister's presence in the hall or his wish remains unclear.
Aseesimees Arvo Aller
AI Summary
Vice-Chairman Arvo Aller stated that procedurally, a minister is allowed to take the floor even during negotiations, but the Minister of Finance was actually absent from the hall—though the Minister of Digital Affairs and Justice was indeed there.
Andrei Korobeinik
Profiling Eesti Keskerakonna fraktsioonAI Summary
Summary: It was discussed whether the talks should begin and conclude with the minister's address, and whether the minister should be asked for a closing statement, given that the "yellow book" is merely advisory and this significant piece of legislation could negatively impact the economy—a situation the minister's clarification might help illuminate.
Aseesimees Arvo Aller
AI Summary
The Minister's address is not part of the negotiations, and while he could have participated, the discussions have already concluded, meaning there is no longer any opportunity to reopen the matter on this particular topic.
Kalle Grünthal
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmedAI Summary
Grünthal points out that members of the Riigikogu and ministers take the oath of office, the procedure for which is regulated by Section 3 of the Rules of Procedure and Internal Rules. Furthermore, based on the example of Jürgen Ligi, a person might say one thing at one moment and something completely different the next.
Aseesimees Arvo Aller
AI Summary
The Deputy Speaker interrupted Kalle’s address because it is two o’clock and the time allotted for the sitting has expired. Procedural matters will be deferred until tomorrow, and today’s session is concluded. We will reconvene tomorrow in the chamber.