The Portuguese Government decided to increase the discount on the Excise Duty on Petroleum Products, better known as ISP, applied to both diesel and gasoline. This measure comes as a response to the record rise observed in fuel prices.
The increase in the discount will be approximately three cents per liter, representing an additional effort by the Executive to mitigate the impact on consumers. The Executive justifies this intervention as necessary to contain the price escalation that has been affecting motorists.
This is not the first time the Government has resorted to ISP reduction as a fiscal policy instrument to face volatility in fuel markets. The measure aims to protect households' purchasing power in a context of high inflation.
