Next week, diesel prices are expected to drop by one cent, while gasoline prices should remain stable, as per forecasts released on Friday by the Automóvel Club de Portugal (ACP).
“After a week where both gasoline and diesel saw price reductions, only the price of diesel is expected to change next week,” reads the ACP website.
Thus, “if the forecasts for next week are confirmed, the average price of simple diesel will be set at 1.539 euros and that of 95-octane gasoline will remain at 1.70 euros.”
“It should be noted that these forecasts are made based on the assumption that the government’s extraordinary tax reduction measures, aimed at offsetting price increases, remain in place,” the ACP adds.
End of ISP Discount? Government Working on a Solution
The Finance Minister assured that the Government is working on a solution for the end of discounts on the petroleum products tax (ISP), as recommended by the European Commission, which would not increase fuel prices.
“We will seek opportunities for price reductions to reverse these discounts,” stated the Minister of State and Finance, Joaquim Miranda Sarmento, who presented the State Budget proposal for 2026 today in Lisbon.
The minister noted that this issue has been raised by the European Commission since 2023, having been “the only criticism” made by the institution in their assessment of the Medium-Term Fiscal Program last October, and in a new letter received in June urging the Government to end the ISP discounts.
The Minister of Economy and Territorial Cohesion, Manuel Castro Almeida, had already acknowledged “adjustments” in fuel prices a few days ago.
“The Government’s stance last year was to only make adjustments when there is a price drop for gasoline, so that people do not feel they are paying more due to tax increases,” stated Castro Almeida, emphasizing that it would be “unthinkable to do it all at once.”
The Government estimates that revenue from the petroleum products tax (ISP) will increase by 187 million euros to 4.254 billion euros, according to the State Budget proposal for 2026 presented today.
“This growth is driven by the expected increase in private consumption,” the document states.
The second budget prepared by the finance team led by Joaquim Miranda Sarmento, whose proposal has already been approved in the Council of Ministers, will be debated in general at the end of the month, with a final global vote scheduled for November 27.
The Government estimates that revenue from the petroleum products tax (ISP) will increase by 187 million euros to 4.254 billion euros, according to the State Budget proposal for 2026 presented today.
Lusa | 14:23 – 09/10/2025
