Italian government technologists are finalising a decree that would lower excise duties on petrol and diesel by 24.6 cents per litre starting in August, while simultaneously raising taxes on tobacco products to fund the measure.
The proposal aims to cap diesel prices at €2 per litre, providing direct relief to motorists and logistics operators amid persistent energy cost pressures.
The move represents a distinct policy approach compared to other European nations currently grappling with fuel inflation.
While Serbia recently approved a temporary 20 percent cut in excise duties to curb rising costs, Portugal is preparing for a significant increase, with gasoline and diesel prices projected to exceed the €2 per litre threshold for the first time in recent months.
Italy’s strategy of cross-subsidising fuel relief through tobacco taxation seeks to balance consumer protection with fiscal constraints.
This development adds to the complex landscape of European energy policy, where governments are employing varied tools to manage the impact of global oil prices on domestic economies.