The European Commission has been forced into action by Europe-wide unrest over fuel prices.
Commission president José Manuel Barroso has just submitted a detailed proposal to allow EU countries to issue subsidies to reduce the cost of fuel.
He said such targeted support, either trough handouts or tax breaks, will help countries lower fuel prices.
However, he stressed that such assistance would be temporary and not prevent long-term adjustments to higher prices.
Mr Barroso added Brussels would table additional proposals later this year to further revise the Eurovignette and energy taxation directives, providing tax and toll incentives for energy efficiency investments, such as buying new fuel efficient vehicles