Diesel, end of the excise duty cut: in the Gazzetta there is no extension of the discount
The Government has not extended the tax discount in the Official Journal: diesel will return to the ordinary price
Quick Look
- The Government has not renewed the cut in excise duties on diesel which expires on 7 November.
- From Sunday, prices at the pump will undergo a slight increase of around 4.9 cents per litre, with an estimated saving for the exchequer of 3.5 million euros per day.
AI-generated summary
Why It Matters
The Government had introduced a temporary cut in excise duties to mitigate the increase in fuel prices.
We return to ordinary excise duties. Again. In the Official Journal of Saturday 7 November, the last day valid for the tax cut on the price of diesel, there is no extension of the discount. And, therefore, increases - albeit slight - are expected from Sunday.
Let's start with the prices. According to the latest survey by the Ministry of Business, the average price of diesel in Italy is 2.24 euros per litre; while the price of petrol has returned to two euros per liter after weeks of records.
The price of diesel, however, will increase from Sunday. The cut in force until November 7 is not particularly high: it is just under 4.9 cents per liter (including VAT). Not renewing it would bring the Government savings of around 3.5 million euros per day (the measure cost 38 million for eleven days).
In all of this, the price cap strategy remains central. The only one to have set a precise price was Eni (with the other companies that adapted): 1.99 euros for petrol and 2.25 euros for diesel. On the latter, it must be said, the effective ceiling was even lower, precisely due to the excise duty discount applied by the Government.
Open Questions
- Will there be further government intervention in the future?
- How will other oil companies react to Eni's prices?
