Taxes already worsened fuel by almost 5 cents this year – TVI24

Taxes already worsened fuel by almost 5 cents this year – TVI24

Fuels increased almost five cents from January 1 through taxation and incorporation of biofuels, according to the accounts of the National Fuel Market Authority (TNGC).

The final accounts of the rise in fuel prices in 2015, held by the public body that publishes daily reference prices, note the Lusa, show an increase of 4.63 cents per liter of diesel and 4.99 cents per liter gasoline resulting from worsening road service contribution, as provided in the State Budget, the carbon tax, contemplated in the reform of Green Taxation, and even the incorporation of biofuels (pursuant to Legislative Decree 117/2010).

The evolution of fuel prices in 2015 led to a heated discussion between oil companies and the government, with the accounts of both sides to differ with regard to the value for the increased uptake of biofuels.

The accounts of Galp pointed an additional five cents per liter diesel and 6.5 cents in gasoline next year, values ​​that the Government came several times, reject, which led to APETRO – Portuguese Association of Oil Companies to redo the accounts and to corroborate a rise of five and 6.5 cents for diesel and gasoline, respectively.

According to the accounts of TNGC, the new carbon tax was responsible for a price increase in 1.156 and 1.260 cents per liter for petrol and diesel, while the contribution of road service increased by two cents per liter ( excluding VAT).

Now the new biofuel incorporation target endeared by 0.9 cents per liter, excluding VAT, the price of gasoline, and 0.5 cents per liter, excluding VAT, the diesel.

“The different impact of biofuel incorporation in petrol and diesel due to the volumes and biofuel prices to be used,” explains the organization led by Paul Carmona.

Diesel consumption in Portugal soared 10% in December 2014 compared to the same period last year to 430,000 tonnes, the highest monthly consumption of the last three years.

According to the data of TNGC, diesel fuel exceeded 430,000 tons in December, the highest since 2012, which coincided with the fuel price drop and preceded the increased load tax that took effect on January 1.

Also gasoline consumption increased 3.8% in December compared to the same period, but over 2014 consumption continued to fall, with a decline of 1.5% over the previous year.

On the other hand, diesel sales closed 2014 high compared to the previous year, with an increase of 1% to 4.6 million tons, still below that recorded in 2012.

Despite the increased prices through taxation and incorporation of biofuels, the price of fuel is falling since mid-2014, following the evolution of the prices of oil products in international markets, which dropped to the 2009 figures .

The TNGC, successor of the former EGREP, is responsible for setting the reference price.