ARCHIVED - Spanish government determined to scrap the 20 cent fuel bonus in the new year
The money-saving fuel measure is due to expire on December 31 across Spain
The clock is ticking quickly towards December 31 and all indications from the Spanish government are that the universal 20 cent per litre fuel bonus will be eliminated, and the aid redirected towards the lowest incomes.
The First Vice President, Nadia Calviño, has been adamant that the measure will be reevaluated “by the end of the year,” but the leaders have thus far remained tight-lipped about what this actually entails.
“We are going to see, between now and the end of the year, how the fuel situation evolves to see if this measure, which in principle ends on December 31, must be maintained for everyone or must be focused on some group most affected,” Calviño explained.
In reality, the fuel bonus isn’t quite as vital as it was when it was introduced earlier this year. Petrol and diesel prices have dropped by another 3% this week and both of these fuels are now far cheaper than they were before the scheme was launched on April 1.
The Spanish Confederation of Service Station Entrepreneurs (CEEES) has criticised the government for delaying its decision until the eleventh hour and has called on the powers that be for more “certainty and dialogue” on the issue. The group has also suggested that a similar tax break to the ones on electricity and gas be applied to fuel as a compromise.
In any case, the Minister of Finance last week reiterated that “it was not possible” to means test the fuel bonus at the time it was implemented, but that such measures are being closely examined now.
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