The Romanian Senate has approved legislation enabling temporary, phased reductions in diesel excise duties during periods of oil market crisis.
The measure, passed by 116 votes with eight abstentions, establishes a mechanism to lower fuel taxes when global prices spike due to geopolitical instability, specifically citing the ongoing conflict in the Middle East.
The bill now moves to the Chamber of Deputies for final consideration.
The legislative move comes as European markets continue to price in supply disruption risks from the Strait of Hormuz.
Brent crude has retreated from recent highs as shipping routes show signs of normalization, but volatility remains elevated. The Romanian government’s preemptive action aims to prevent a pass-through of global energy shocks to domestic transport and logistics costs, which are particularly sensitive to diesel pricing.
This development follows heightened scrutiny of the domestic fuel market by Romania’s Competition Council, which launched a monitoring exercise after temporary government interventions expired.