Although Brussels has not yet announced measures to reduce the impact of the energy crisis in Europe, several European countries have already acted and moved forward with measures to respond to rising prices, as highlighted by El Mundo.
The governments of several European countries have announced rebates and tax reductions to deal with this crisis. Portugal is one of the countries that have already taken action.
Last week, the Secretary of State for Fiscal Affairs, António Mendonça Mendes, announced at a press conference the reduction of the fuel tax (ISP). This measure will be reassessed every week on Fridays based on estimates of rising fuel prices. In that first week, the gas discount was 1.7 cents on gas and 2.4 cents on diesel.
Between this measure and others taken previously, such as the carbon tax of 2014, the government guarantees that for 50 liters of gasoline, the Portuguese will save 25 euros.
French Prime Minister Jean Castex revealed last week that from April 1 a fuel discount of 15 centimes per liter will be applied. This measure will be in effect for four months. The official explained to the Parisian that the distributors will apply this discount and then the State will return the money. In a 60 liter tank, this will represent a saving of nine euros. This measure will cost the coffers of France two billion euros.
Castex said it is easier to implement this discount than to lower taxes. “We need a law for that and we need more time,” defended the French Prime Minister.
Although it has not announced any measures in recent weeks, the Italian government announced a month ago that it would channel an additional 5,800 million euros – it had previously advanced 10 billion euros – to “avoid that the impact of the cost of energy” is “too negative”. The investment was aimed at eliminating the fixed costs of the system, maintaining the
VAT on gas at 5% and help vulnerable families and businesses with high energy consumption.
He chose a similar route to France, but with a slightly lower discount: 12 cents per litre. This measure will have a total cost of 347 million euros for Sweden and is part of a larger package that will have a budget of 1,314 million euros, which includes direct aid to consumers between 94 and 141 euros, according to the area in which they reside and the type of vehicle they have.
It is betting on tax measures and since March 10 it has reduced the special fuel tax. The Irish government hopes to lower the price of petrol by 20 cents per liter and reduce the price of diesel to 15 cents per litre. This means a saving of around 12 euros per tank of petrol and 9 euros per tank of diesel. This reduction will cost the country 320 million euros and will continue until at least August 31.
The Romanian government went further and decided to freeze electricity and gas prices for a year. The measure takes effect from April 1 and applies to individuals and businesses.
It has set a maximum price, but it is assumed that companies will not sell below this price. For gasoline 1,503 euros per liter and for diesel 1,541 euros per litre.
The Belgian government will reduce VAT on gas by up to 6% from April to September 30. It will also extend the fall in electricity prices until the end of September. Special fuel taxes will also be reduced by 0.175 euro per litre.
The most controversial measures are yours. In February, he changed the VAT on fuel, and it was not small. It reduced this tax from 23% to 8% until July 31. It also removed VAT on gas and essential groceries. It also extended a 5% drop in electricity until the end of July.