Schlein is alarming businesses with her remarks on windfall profits. Regina (Confindustria): “Populism”

Today, at the Council of Ministers, the government will once again extend the discounts on diesel. But attention is already turning to more ‘structural’ proposals – targeted measures to ease the cost of fuel for low-income households. How might this be achieved? One option is the much-discussed windfall tax, which Meloni, however – partly due to opposition from Forza Italia – would like to introduce following consultation at European level (whilst Salvini insists on taxes on banks and is reserving the right to a budgetary deviation). Yesterday, the Irish EU Presidency announced that a discussion will be scheduled. The fact is that this is already having a domestic fallout: the call to tax oil companies’ windfall profits is already straining relations between Elly Schlein, who has repeatedly called for such a tax, and the business community. “It’s a populist, election-campaign-style proposal. It smacks of a policy devoid of ideas,” Aurelio Regina, head of energy at Confindustria, told Il Foglio.

And to think that the PD secretary has invested a great deal in her relationship with industrialists. Overcoming much of the reluctance and hesitation of those who, when she managed to rise through the ranks of the PD, feared (as indeed happened) a shift further to the left within the party. We have also reported in this newspaper on the respect and excellent relationship that Schlein has managed to forge with Confindustria president Emanuele Orsini. He, like her, is from Emilia. And in July, without prior announcement, he returned to visit the Nazareno offices for a discussion on major economic issues. But it is not merely a matter of personal relationships: partly to erode Giuseppe Conte’s electoral support, whilst keeping a close eye on the internal competition within the broad coalition, Schlein has repeatedly sought support within the business community. Firstly, through the “listening campaign” launched ahead of the referendum, which engaged with various industrial sectors. Then by delegating much of the organisation of events and panels to the reformist wing. Just yesterday, for example, the President of Emilia-Romagna, Michele De Pascale, took part in a session at the Rimini Meeting entitled “Italy’s Business Community. Roots and an international vision’. De Pascale is, for most of the industrialists who have attended the PD’s events, something of “our favourite point of contact”. Schlein also gave an interview to Milano Finanza in response to that given by Prime Minister Meloni. And that’s not all: between now and December, the PD has a whole series of events planned to maintain its presence in the political arena.

A visit to the Mantua chemical complex is scheduled for September, followed by a visit to the Stellantis plants in Melfi. Before Christmas, the Nazareno’s Head of Industry, Andrea Orlando, will host an event in his home city of Genoa. But in between, and most importantly in November, as reported by Il Messaggero, the national PD, led by its secretary, is expected to organise a major national event, possibly in Rome (though Turin has also been mentioned), to announce with great fanfare the so-called “libro bianco sulle politiche industriali del Pd”. It is therefore understandable why the business community is apprehensive about a proposal – the tax on oil companies’ windfall profits – which Schlein continues to push for on an almost daily basis. “Meloni has no more excuses,” the PD secretary said after the EU passed the buck back to individual Member States on the grounds that “it falls within their remit”. “Measures such as the tax on windfall profits are, in our view, conceptually flawed,” industrialist Aurelio Regina told Il Foglio. “Moreover, they last only a few weeks and risk causing more harm than they resolve. In my view, the government won’t introduce it, but the fact that it is forced to chase after such a populist proposal certainly points to a policy devoid of ideas, even whilst the election campaign is already underway.” These are rather explicit messages for the Nazareno.