LISBON, April 3 (Xinhua) - Portugal will apply a new discount on its fuel excise tax starting Monday, as the government moves to cushion the impact of rising energy prices driven by tensions in the Middle East, according to an official order published on Friday.
The new discount, applied to the ISP fuel tax, amounts to 4.58 euro cents (5.27 U.S. cents) per liter for unleaded petrol and 8.34 euro cents (9.59 cents) per liter for diesel.
The discount mechanism has been in place since fuel prices rose more than 10 euro cents (12 cents) per liter above levels recorded during the reference week of March 2 to 6, and the government has since adjusted the discount on a weekly basis to offset accumulated price increases.
Portugal introduced similar measures in 2022, when a weekly ISP adjustment mechanism was put in place to mitigate the impact of fuel price spikes following the conflict between Russia and Ukraine.
Energy prices across Europe have been rising amid tensions in the Middle East. In addition to Portugal, other European governments have adopted various approaches to mitigate the impact of increasing energy costs. ■