The Italian Government is coming to the end of the fuel discount program, which reached its 15th support with a 17 cent per liter discount. This last extension will apply until next week, but there will be no more generalized reductions.
Throughout this year, Italy opted for temporary fiscal measures instead of administratively fixing gasoline and diesel prices. The strategy focused on lowering taxes on fuels.
The measure with the greatest impact was the reduction of VAT rates and "accise" (specific taxes charged per liter). This tax reduction partially mitigated the price increases for consumers.
Pressure on prices did not ease due to the war in Iran, which led the Government to extend the tax cuts until May. In June, the Italian Ministry of Economy was evaluating the next steps.
